DSC5101
ANALYTICS IN MANAGERIAL ECONOMICS (2015/2016, Semester 1) 

 MODULE OUTLINE Created: 01-Aug-2015, Updated: 01-Aug-2015
 
Module Code DSC5101
Module Title ANALYTICS IN MANAGERIAL ECONOMICS
Semester Semester 1, 2015/2016
Modular Credits 4
Faculty School of Business
Department Analytics & Operations
Timetable Timetable/Teaching Staff
Module Facilitators
ASSOC PROF Jussi Samuli Keppo Lecturer
Weblinks
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Prerequisites | Syllabus | Preclusions | Workload


 PREREQUISITES Top
No prerequisites for the Master of Science in Business Analytics (MSBA) students. For non-MSBA students basic statistics at the level of DSC4213 Analytical Tools for Consulting.


 SYLLABUS Top
DSC5101      ANALYTICS IN MANAGERIAL ECONOMICS
 
AY2015-2016 Semester 1
 
Instructor:        Associate Professor Jussi Keppo
Department:    Decision Sciences
Office:             Mochtar Riady Building, BIZ 1 #8-72
Email:              keppo@nus.edu.sg
 
 
Summary
 
We analyze price formation and economic performance in imperfectly competitive markets by using optimization, statistical and stochastic methods. Strategic interactions between the participants in these markets are emphasized and a theoretical framework is laid out.
 
Theoretical models are analyzed with industry examples and datasets.
 
 
Topics
 
 
  • Monopoly and Market Power
  • Oligopolistic Markets
  • Empirical analysis
  • Optimization and stochastic modeling
  • Technological Change, R&D
  • Network industries
 
 
Course Material
 
 
  • Lecture notes
  • Lynne Pepall, Dan Richards and George Norman: Contemporary Industrial Organization: A Quantitative Approach, 2011, Wiley
 
 
Projects
 
There are 3 case projects that are done in groups. Each group has 3 - 5 students. The due dates of the case projects:  7 September, 5 October, and 26 October (before the class).
 
There is also one in-class individual project, which is on 9 November (regular class time). Further, in addition to the projects there are homework assignments.
 
 
Prerequisites
 
No prerequisites for the Master of Science in Business Analytics (MSBA) students. For non-MSBA students basic statistics at the level of DSC4213 Analytical Tools for Consulting.
 
 
Assessments
 
 
Component Weight
In-class project 40%
Group projects 40%
Homework 20%
Exceptional participation gives up to 5% to the final grading.  
Total 100%
 
 
Tentative Schedule
 
Lectures 1-4:
 
  • Introduction: Costs
  • Monopoly and Market Power, simulation of price uncertainty
  • Oligopolistic Markets: Introduction to game theory, Bertrand, Cournot, differentiation, simulation of equilibrium
Lectures 5-10:
 
  • Monopoly revisited: Price optimization, price discrimination, complementary good pricing, durable good pricing, bundling
  • Oligopoly: Price optimization and discrimination
  • More Oligopoly: Strategic commitments, monopolistic competition
  • Mergers – horizontal and vertical
  • Dynamic competition and cartels,
  • Entry, accommodation and exit, stochastic modeling of entry and exit decisions
Lectures 11-13:
 
  • Technological Change, R&D
  • Network industries


 PRECLUSIONS Top
NIL


 WORKLOAD Top
3-0-0-4-3

Workload Components : A-B-C-D-E
A: no. of lecture hours per week
B: no. of tutorial hours per week
C: no. of lab hours per week
D: no. of hours for projects, assignments, fieldwork etc per week
E: no. of hours for preparatory work by a student per week