Economics of Organizations and Corporate Governance (ECON*4400DE)
Microsoft PowerPoint is required to complete presentation assignments
Semester: Summer 2012
Additional Offerings: Fall 2013
Start Date: May 10, 2012
End Date: August 17, 2012
Degree Credit (.5 credit weight)
This course introduces students to the latest developments in the economic analysis of the inside workings of firms. The course is centered on the concept of organizational structure, which is made up of three variables: allocation of decision rights, performance evaluation and performance incentives. The course tries to explain the diversity of economic organizations, and more generally, why economic activity is sometimes carried out through firms and sometimes through markets. (Offered through Distance Education only.)
The purpose of this course is to introduce you to the economic analysis of firms as it applies to the organization and governance. Economists have recently been trying to understand what goes on inside firms and to explain the diversity of economic organizations that people encounter in the real world. We will explore how economic activity is organized and why sometimes, economic activity is carried out through markets and through firms. We will study the links between decision-making authority, the measurement of performance and incentive compensation, and we will show how the proper balance between these three variables is crucial in the creation of value for the firm’s shareholders.
|Assignment||Weight %||Due Date|
|Presentation Discussion Participation||20%||TBA|
|Two Presentations (15% each)||30%||TBA|
|First Term Paper||20%||TBA|
|Second Term Paper||30%||TBA|
There is no Final Exam for this course.
Specific due dates will be posted to the course website.
- Unit 01: Introduction
- Unit 02: The Organization of the Economic Activity
- Unit 03: Coordination of Economic Activity Through Markets and the Price System
- Unit 04: Coordination of Economic Activity Through Hierarchies
- Unit 05: Organizational Architecture: How Best to Coordinate Plans and Actions
- Unit 06: Decision Rights
- Unit 07: Motivation and Incentives: Contracts, Private Information, Moral Hazard and Risk Sharing
- Unit 08: Individual and Corporate Performance Evaluations
- Unit 09: Corporate Governance
ECON*2310 Students must have completed a minimum of 12 credits.
Required Materials Not Provided:
Managerial Economics and Organizational Architecture (Confirmed)
Edition: 5th Edition
Author(s): Brickley, Smith and Zimmerman
Published by: McGraw Hill Irwin, Hereafter BSZ5 in 2009
For more information, Contact Info Line :
Phone: 519 824-4120 ext. 55000
These course details are based on information provided to date by the associated academic department or the course instructor. Course specific information remains subject to change until the actual date of course commencement. In the event of a discrepancy between the course information provided here and on the course website, the course website will be taken as official.