ABHIROOP MUKHOPADHYAY, INDIAN STATISTICAL INSTITUTE (DELHI), SPRING 2014
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Econometric Applications I
COURSE OBJECTIVE: This course is an introduction to identification of models.
In this course, we use models that are used in Industrial Organisation literature and
devise specifications that identify parameters of interest.
BIG PICTURE (where this course fits in to your training): First it will train you in
thinking about how to go about “identifying” key parameters. Second, this course will
introduce you to some standard empirical issues in what is termed as “New Industrial
Organisation”.
COURSE GRADE: The grades will be based on four components
A. Industry Report (10 percent)
B. Mid Term Assignment (40 percent)
C. Final Exam and Project (50 percent)
PREREQUISITES: There is no prerequisite for this class. It is preferable that you
have taken Econometrics II. I will not repeat topics taught in depth in that course.
Where required, I will teach some key econometrics concepts (Simultaneous
equations, Generalized Method of Moments Estimation, Semi Parametric Estimation
etc.)
CLASS TIME: 11:30-1:00 Tuesday-Thursday
OFFICE HOURS: By Appointment
CONTACT DETAILS: [email protected]. Some of you may get hold of my
mobile number. But please do not call me unless there is an emergency (life and death
matter!!!).
MISCELLAEOUS: Every weekend, I will update lecture notes. So check the course
website. (http://www.isid.ac.in/~abhiroop/Site/TEACHING.html).
Static Models of Imperfectly Competitive Markets - Homogenous Products
1. Bresnahan, Timothy (1982), “The Oligopoly Solution is Identified,”
Economics Letters, 10(1), pp. 87-92.
2. Appelbaum, Elie (1982), “The Estimation of Degree of Oligopoly Power”,
Journal of Econometrics, 19(2-3), pp. 287-299.
3. Parker, Philip M. and Lars-Hendrik Roller (1997), “Collusive Conduct in
Duopolies: Multimarket Contact and Cross Ownership in the Mobile
Telephone Industry”, Rand Journal of Economics, 28(2), pp. 304-322.
4. Porter, Robert (1983), “A Study of Cartel Stability: The Joint Executive
Committee, 1880-1886,” Bell Journal of Economics, 14, pp. 301-314.
5. Ellison, Glenn (1994), “Theories of Cartel Stability and the Joint Executive
Committee,” Rand Journal of Economics, pp 37-57, Spring.
6. Knittel, Christopher and Victor Stango (2003), “Price Ceilings as Focal Points
for Tacit Collusion: Evidence from the Credit Card Market,” American
Economic Review, 93(5), pp.1703-1729, December.
ABHIROOP MUKHOPADHYAY, INDIAN STATISTICAL INSTITUTE (DELHI), SPRING 2014
.
Static Models of Imperfectly Competitive Markets - Differentiated Products
1. Shepard, Andrea (1991), “Price Discrimination and Retail Configuration,”
Journal of Political Economy, February.
2. Leslie, Phillip, “Price Discrimination in Broadway Theater,” Rand Journal of
Economics, Autumn 2004, pp. 520-541.
3. Bresnahan, Timothy (1981), “Departures from Marginal Cost pricing in the
American Automobile Industry: Estimates for 1977-78,” Journal of
Econometrics, 11, pp. 201-227.
4. Berry, Steven (1994), “Estimating Discrete Choice Models of Product
Differentiation,” Rand Journal of Economics, pp. 242-262, Summer.
5. Berry, Steven, James Levinhson and Ariel Pakes (1995), “Automobile Prices
in Market Equilibrium,” Econometrica, pp. 841-890, July.
6. Goldberg, Penelopi (1995), “Product Differentiation and Oligopoly in
International Markets: The case of the US Automobile Industry,”
Econometrica, pp. 891-951, July.
7. Nevo, Aviv, “A Practitioner’s Guide to Estimation of Random-Coefficients
Logit Models of Demand,” Journal of Economics and Management Strategy, ,
1998, Vol 9, No. 4, pp. 513-548.
8. Nevo, Aviv “Measuring Market Power in the Ready-to-Eat Cereal Industry,”
Econometrica, 2001, pp. 307-342.
9. Petrin Amil, “Quantifying the Benefits of New Products: The Case of the
Minivan,” Journal of Political Economy, August 2002, pp. 705-729.
10. Goolsbee, Austan and Amil Petrin, “Consumer Gains from Direct Broadcast
Satellites and the Competition with Cable TV, Econometrica, March 2004, pp.
351-381.
11. Smith, Howard, “Supermarket Choice and Supermarket Competition in
Market Equilibrium,” Review of Economic Studies, January 2004.
12. Thomadsen, Raphael, “The effect of Ownership Structure on Price in
Geographically Differentiated Industries,” The Rand Journal of Economics,
Winter 2005, pp. 908-929.
13. Rysman, Marc, “Competition Between Networks: A Study of the Market for
Yellow Pages,” Review of Economic Studies, 2004, pp.483-512.
14. Ackerberg, Daniel, “Empirically Distinguishing Informative and Prestige
Effects of Advertising, The Rand Journal of Economics, Summer 2001, pp 316333.
15. Ackerberg, D. “Advertising, Learning, and Consumer Choice in Experience
Good Markets: A Structural Empirical Examination”, International
Economic Review, August 2003, pp. 1007-1040
16. Crawford, Greg and Matthew Shum, “Uncertainty and Learning in
Pharmaceutical Demand,” Econometrica, July 2005, pp. 1135-1174.
17. Sweeting, Andrew, “The Strategic timing Incentives of Commercial Radio
Stations: an Empirical Analysis Using Multiple Equilibria, Rand Journal,
Winter 2009, pp. 710-742.
18. Ho, Katherine, “Insurer-Provider Networks in the Medical Care Market,”
American Economic Review, March 2009, pp. 393-430.
ABHIROOP MUKHOPADHYAY, INDIAN STATISTICAL INSTITUTE (DELHI), SPRING 2014
.
Production Modeling and Productivity Measurement
1. Olley, Steven and Ariel Pakes, “The Dynamics of Productivity in the
Telecommunications Industry, Econometrica, 1996, pp. 1263-1295.
2. Levinsohn, James and Amil Petrin, “Estimating Production Functions Using
Inputs to Control for Unobservables,” Review of Economic Studies, 2003, pp.
317-342
3. Topolova, Petia & Amit Khandelwal (2011), "Trade Liberalization and Firm
Productivity: The case of India", Review of Economics and Statistics, Vol. 93,
No. 3, 995-1009