Academic Catalog


Course Code: 5680546
METU Credit (Theoretical-Laboratory hours/week): 3(3-0)
ECTS Credit: 8.0
Department: Industrial Engineering
Language of Instruction: English
Level of Study: Graduate
Course Coordinator:
Offered Semester: Spring Semesters.

Course Content

Basics of cost-benefit analysis. Market efficiency and welfare. Welfare measures in partial equilibrium analysis. Market inefficiencies and market failure. Measuring opportunity costs and benefits in efficient markets. Costs and benefits in the presence of monopoly, public goods, externalities and information asymmetry. Effects of decisions in secondary markets. Inter-temporal decisions, discounting, uncertainty and irreversibility.