This course targets second year Research Master and PhD students in business and economics with an interest in structural econometrics and computational economics. It aims at familiarizing them with current research in empirical industrial organization and preparing them to do their own research in the field.|
A syllabus with all course details can be found here.
CentER Research Master’s first year microeconomics and econometrics sequences, or equivalent, and some prior exposure to MATLAB (e.g. by studying the tutorials on the reading list). Students can only participate in Part 2 after successfully completing Part 1. Students who believe they should be exempted from this rule should contact the course coordinator (Jaap Abbring) before the start of Part 1.
Note: Non-CentER students should ask permission from the Director of Graduate Studies in Economics before enrolling. Please send your request for permission to the CentER Graduate School at firstname.lastname@example.org.
Recent developments in computational and econometric methods on the one hand and data availability on the other hand have boosted the literature on the structural empirical analysis of market structure and strategic interactions in markets. This course reviews a selection of these developments by providing in-depth discussions of key papers in the empirical industrial organization literature. It focuses on state-of-the-art econometric and computational methods and illustrates these with selected applications. The course is taught in two parts:
Students are expected to actively prepare for and participate in all lectures and tutorials, and to work on regular computational and empirical assignments.
- Part 1 (230319; 3 ECTS) covers discrete choice and static demand estimation, static models of entry and market structure, consumer search, and the analysis of asymmetric information and contracts. It also provides a hands-on introduction to MATLAB, with applications to the estimation of static demand systems.
- Part 2 (230323; 3 ECTS) continues by studying dynamic models and the computational and econometric methods to analyse them. It reviews methods for the analysis of dynamic discrete choice, dynamic demand, dynamic models of entry and market structure, and more general dynamic games; studies empirical applications of these methods; and offers hands-on experience with their implementation using MATLAB.
Type of Instruction
Lectures (incl. MATLAB tutorials) and individual feedback on assignments.
Type of exams
Each part (3 ECTS course) is graded based on homework assignments during the course (20%) and a take-home final exam (80%).