The course builds from the concepts covered in TLEN 5010. It begins with a discussion of the economics of networks, including network configurations, economies of scale and scope, and externalities. Coverage continues with an examination of various types of firm organization and market structures in network industries, including two major theories of competition involving networks--vertical access and system competition. Next we will take up competitive issues involving networks, particularly those revolving around ownership of a monopoly network or essential facility, foreclosure of competitors through denial of access to a network, strategic issues in compatibility and standard setting, and leveraging of market power to other levels within a network.

The course enables students to think analytically and critically about the multidisciplinary aspects of networks and competition policy in existing or restructuring network industries.

Required