The Economics of Industry

This information is for the 2021/22 session.

Teacher responsible

Dr Pasquale Schiraldi

Prof Mark Schankerman



This course is available on the MSc in Econometrics and Mathematical Economics, MSc in Economics and MSc in Economics (2 Year Programme). This course is available with permission as an outside option to students on other programmes where regulations permit.


Students must have completed Introductory Course in Mathematics and Statistics (EC400).

In exceptional circumstances, students may take this course without EC400 provided they meet the necessary requirements and have received approval from the course conveners (via a face to face meeting), the MSc Economics Programme Director and their own Programme Director. Contact the Department of Economics for more information ( regarding entry to this course.

Course content

A graduate course in Industrial Organization, which aims to provide students with a working knowledge of current theoretical and empirical methods for industry studies. Applications of these methods are considered in industry case studies.

Topics include: Pre-requisites in Game Theory, An introduction to current developments in Oligopoly Theory. A formal analysis of conduct in concentrated industries (cartel stability, limit pricing, predatory pricing, etc), Demand estimation in homogenous and differentiated product industries, Production function estimation, Empirical techniques for oligopoly models and auction markets, Identification of conduct, Economies of Scale, R&D, Advertising, Vertical restraints. The topics will be discussed with detailed applications for selected industries and considering competition policy questions.


20 hours of lectures and 10 hours of seminars in the MT. 20 hours of lectures and 10 hours of seminars in the LT.

This course is delivered through a combination of classes and lectures totalling a minimum of 60 hours across Michaelmas Term and Lent Term. This year, some or all of this teaching will be delivered through a combination of virtual classes, live streamed (recorded) lectures, and some flipped content delivered as short online videos

Formative coursework

Two marked assignments per term.

Indicative reading

Two books which provide a basic framework are J Tirole, Theory of Industrial Organization, MIT Press, 1989 and J Sutton, Technology and Market Structure, MIT Press, 1998. A full reading list will be supplied at the beginning of the course.


Exam (50%, duration: 2 hours, reading time: 15 minutes) in the summer exam period.
Essay (50%, 6000 words) in the ST.

Course selection videos

Some departments have produced short videos to introduce their courses. Please refer to the course selection videos index page for further information.

Important information in response to COVID-19

Please note that during 2021/22 academic year some variation to teaching and learning activities may be required to respond to changes in public health advice and/or to account for the differing needs of students in attendance on campus and those who might be studying online. For example, this may involve changes to the mode of teaching delivery and/or the format or weighting of assessments. Changes will only be made if required and students will be notified about any changes to teaching or assessment plans at the earliest opportunity.

Key facts

Department: Economics

Total students 2020/21: 30

Average class size 2020/21: 15

Controlled access 2020/21: Yes

Value: One Unit

Guidelines for interpreting course guide information