Fundamentals of Oligopoly and Market Competition

Oligopoly markets—where a few large firms dominate—shape much of the modern economy, from tech platforms to aviation. Understanding the strategic interactions within these markets is crucial for economic analysis. This course provides a solid foundation in the theory and application of oligopoly models. You will move beyond perfect competition and monopoly to analyze strategic decision-making, pricing strategies, and the incentives for collusion or competition. What you'll learn: * Understand the core characteristics, barriers to entry, and concentration measures defining oligopolistic markets. * Apply the Cournot and Bertrand models to analyze competition based on quantity versus price decisions. * Master the foundational concepts of game theory, including the Prisoner's Dilemma and Nash Equilibrium, relevant to firm strategy. * Analyze the incentives for firms to collude, form cartels, and the challenges of maintaining cooperative agreements. * Practice analyzing non-price competition strategies, such as product differentiation and advertising. * Apply basic economic principles to evaluate the role of anti-trust regulation in highly concentrated markets. The course begins by establishing the fundamental definitions and market structures. We then systematically explore classic models of simultaneous and sequential decision-making, concluding with an analysis of real-world competitive strategies and regulatory considerations. This course is designed for absolute beginners in microeconomics and requires no prior knowledge of advanced economic theory or mathematics. Start building your foundational understanding of market dynamics today.