MGEC-621 REVIEW SESSION Pre-Term Spring 2011 Syllabus Instructor: David Muir Office: 1350 Steinberg Hall-Dietrich Hall E-mail: [email protected] Goal: This mini-course reviews the concepts of MGEC-621 through extensive practice. No formal re-teaching of material will take place; instead, the focus will be on the development and bolstering of learned skills by example. Students daily will receive a packet of five problems per topic similar to the ones on the midterm and final exam from this past semester. We will review each problem thoroughly, and focus on both identifying common themes and developing strategies for solving these problems. Each day will culminate in the assignment of two or more additional practice problems, which will provide students with further preparation for the exam. Text: W. Bruce Allen, Neil Doherty, and Keith Weigelt and Edwin Mansfield, Managerial Economics, 7th Edition, W.W. Norton, New York, 2009. Grading: The grade for this course is solely based on the exam, which will take place on Monday, January 10, 2011 from 6:00PM to 8:00PM in a location to be determined. The exam will contain seven questions and look and feel similar to the final exam administered in October. You must pass this exam in order to receive credit for MGEC-621. You will have to retake the full-length semester course next year if you do not pass this course. Help: These review sessions are meant to be informative and interactive. You should not hesitate to ask questions at any point. Not only do you benefit from having a nearly one-on-one experience in this setting, but also your classmates will benefit from your questions since the answers may help to clarify common problems and concerns. As you review the nightly assignment, do not hesitate to e-mail me with any and all questions; I will do my best to provide immediate feedback.Review Topics: Monday, January 3, 2011 - Topic 1: Two-part tariffs - Topic 2: Transfer pricing Tuesday, January 4, 2011 - Topic 1: Oligopoly strategies – Price leadership and Cournot competition - Topic 2: Oligopoly strategies – Bertrand and Stackelberg competition; collusion Wednesday, January 5, 2011 - Topic 1: Game theory – Static and dynamic games - Topic 2: Auctions Thursday, January 6, 2011 - Topic 1: Risk analysis and decision making under uncertainty - Topic 2: Adverse selection and insurance Friday, January 7, 2011 - Topic 1: Moral hazard - Topic 2: Review for exam Daily Class Schedule: We will try to abide by the following daily schedule as best as possible except where noted: 9:00am-10:00am Review homework assignment from night before* 10:00am-10:30am Review the basics of Topic 1 10:30am-12:00pm Work through three practice problems related to Topic 1 12:00pm-1:00pm Lunch break 1:00pm-1:30pm Work through final practice problem related to Topic 1** 1:30pm-2:00pm Review the basics of Topic 2 2:00pm-4:00pm Work through four practice problems related to Topic 2 4:00pm-5:00pm Daily review, wrap-up, and homework assignment discussed * On the first day we will review basic concepts from MGEC-603 during this time ** On the last day we will spend the post-lunch period reviewing for the exam during this