LFU:online

Students will be introduced to basic concepts of digital markets, with a focus on networks, platforms, and algorithmic market design. They will get an introduction to stable matching theory and behavioral economics. Emphasis will be given to the design of search engines and exchange platforms, and the relationship between design, market power, efficiency, and justice in the digital economy.

The course provides an introduction to digital markets. A discussion of basic concepts of network economics and algorithmic market design will allow for a critical assessment of search engines and platforms for the exchange of commodities and (social) media content. A specific emphasis will be given to matching markets and stable matching theory, as well as past, present, and potentially future policy responses to market power, innovativeness, and justice in digital markets, i.e. competition policy. Moreover, there will be an introduction to behavioral economics with a focus on specific questions in digital markets.

The course will consist of lectures and assignments with feedback during online-discussions (chats and live-sessions).

Regular take-home assignments and online tests.

Easley, D. and J. Kleinberg, Networks, Crowds, and Markets, Cambridge University Press, Cambridge 2010.

Belleflamme, P. and M. Peitz, The Economics of Platforms, Cambridge University Press,
forthcoming.

Both sources and further readings will be provided on OLaT.