Part I: Principles of microeconomics. Consumers and firms behavior in competitive markets: supply and demand. Market equilibrium under perfect competition. Imperfect competition: monopoly oligopoly, monopolistic competition. Multi-attribute models. Game-theoretic notions and their role in industrial economics.
Part II: Economics of the firm. Decision-making: rationality and cooperation. Specialization and Exchange: Transaction costs and incomplete contracts. Coordination of economic activities: boundaries between firms and markets. Vertical integration, hybrid forms and relational contracts. Incentives in organizations: internal company structure, distribution of power and incentives, agency theory. Ownership and control of the company: moral hazard and incentive systems efficient. Companies and institutions.