Competition Policy

Program (3 CFU):

Relying on the basics provided in the complementary module INDUSTRIAL ECONOMICS AND POLICY, this course will discuss:

1. Rationale for regulation (public interest justifications for regulatory intervention, the economic theories of regulation)

2. Optimal pricing for a single-natural monopoly (efficient pricing by a single-product natural monopolist, multi-product natural monopoly, peak-load pricing, multipart tariffs)

3. Issues in regulation (regulation under asymmetric information, regulation in practice, regulatory reform in network industries).

Textbook: Church, Jeffrey R and Ware, Roger (2000): “Industrial organization: a strategic approach”, Irwin McGraw Hill Boston. ISBN: 978-0071166454

(online version freely downloadable)

https://edisciplinas.usp.br/pluginfile.php/544042/mod_resource/content/1/ChurchWare.pdf

Additional readings may be given during classes.

Point by point program (Church and Ware book)

Important note: if not otherwise specified, case studies and examples throughout the book (there are many and inflate the page numbering) are not part of the program on which you are going to be directly tested. Their reading may however help you understanding some concepts.

Ch. 24 (24.1, 24.1.1, 24.1.2)

Ch. 25 (25.1, 25.1.1, 25.1.2, 25.1.3, 25.2, 25.2.1),

Ch. 26 (26.1, 26.1.1, 26.1.2, 26.1.3, 26.1.4,26.1.5)

Evaluation:

Evaluation of this 3CFU module is based on in-class presentations of papers chosen by the student from the provided list.

Lectures:

• Wednesday 11:00-13:00 Aula Acquario

Meeting with students:

• Tuesday 16:00

Additional material:

• Lecture slides

• Readings for discussion

Next exams:

• Check on Infostud