Internet economics and digital business

The main goal of this course is to build on and extend Industrial Organization theories to develop an understanding of the economics of information technology, digital markets and internet businesses. Specifically, with the growing impact of the Internet on marketplaces, students will be challenged in understanding to what extent classical microeconomic theories still hold. The course will be also focused on the impact of widespread information on monopolist choices and consumer surplus, thus turning into new government policies.

Participants in this course will learn how the set the prices of a company competing in old- and new-economy sectors, to choose profitably whether or not to collaborate with competitors, to understand when and if a monopolist is better off by subsidizing a market side, and eventually how to suggest the national government whether or not to intervene in order to stimulate competition and reduce incumbents' power over new entrants.