mechd1305  2019-2020  Mons

Note from June 29, 2020
Although we do not yet know how long the social distancing related to the Covid-19 pandemic will last, and regardless of the changes that had to be made in the evaluation of the June 2020 session in relation to what is provided for in this learning unit description, new learnig unit evaluation methods may still be adopted by the teachers; details of these methods have been - or will be - communicated to the students by the teachers, as soon as possible.
6 credits
45.0 h + 10.0 h
Q1
Teacher(s)
Language
French
Aims

At the end of this learning unit, the student is able to :

1
  • Perfect markets

Consumer choice, demand and elasticity, production decision and supply, law of supply and demand, market equilibrium and economic efficiency.

  • Technologies and cost minimisation

Production function, average and marginal income, returns to scale, short and long-term cost minimisation, fixed and variable costs, total, average and marginal costs, economies of scale.

  • (Absence of) market forces and price-quantity decision

Total, average and marginal revenue, profit maximisation, marginal and average conditions, elasticity and margin.

  • Price discrimination

Pricing and market segmentation, two-part pricing and related sales, aggregation of demand and groups sales.

  • Advertising

Optimal advertising expenditure: the Dorfman-Steiner model.

  • Oligopolistic competition and agreement

Cournot duopoly and best response, Stackelberg quantity leadership and the advantage of initiative, Bertrand price war, collusion, coordination and incitement to cheat.

  • Other topics, chosen by the teacher
  • Theory of consumer choice, market failures, vertical relationships, aspects of gaming theory.
 

The contribution of this Teaching Unit to the development and command of the skills and learning outcomes of the programme(s) can be accessed at the end of this sheet, in the section entitled “Programmes/courses offering this Teaching Unit”.
Bibliography
PINDYCK R., RUBINFELD D. (2017), Microéconomie, Pearson, 9e éd., traduction de PINDYCK R., RUBINFELD D. (2017), Microeconomics, 9th ed., Pearson.
ALLEN B., WEIGELT K., DOHERTY N., MANSFIED E. (2012), Managerial Economics – Theory, Applications, and Cases, 8th ed., Norton.
Faculty or entity