University of Pennsylvania
Microeconomics: When Markets Fail
University of Pennsylvania

Microeconomics: When Markets Fail

Taught in English

Some content may not be translated

37,863 already enrolled

Course

Gain insight into a topic and learn the fundamentals

Rebecca Stein

Instructor: Rebecca Stein

4.8

(611 reviews)

12 hours to complete
3 weeks at 4 hours a week
Flexible schedule
Learn at your own pace

Details to know

Shareable certificate

Add to your LinkedIn profile

Assessments

15 quizzes

See how employees at top companies are mastering in-demand skills

Placeholder
Placeholder

Earn a career certificate

Add this credential to your LinkedIn profile, resume, or CV

Share it on social media and in your performance review

Placeholder

There are 5 modules in this course

In the first part of the course we learnt that if we allow market forces to work we reach an efficient outcome: the maximum benefit that can be generated by a market. The second part of the course explores cases where the markets fail to accomplish our goals. This week sets up the benchmark case of the perfectly competitive market: a model we will modify in the next few weeks. We define Perfect Competition, learn to model it graphically and discuss some key results in terms of long run profits and implications for efficiency.

What's included

20 videos3 quizzes1 discussion prompt

A monopoly is a case where there is only one firm in the market. We will define and model this case and explain why market power is good for the firm, bad for consumers. We will also show that society as a whole suffers from the lack of competition.

What's included

13 videos2 quizzes1 discussion prompt

Monopolies come in various types: one price monopoly, natural monopoly, price discrimination and monopolistic competition. This week we will expand the basic monopoly model to cover these cases and then explore market outcomes in each case. We will also discuss how government may intervene in such cases to benefit society as a whole and increase the surplus generated by the market.

What's included

14 videos3 quizzes1 discussion prompt

Two classic cases of market failure will be defined and explored: externalities and public goods. We will define each case, demonstrate why the market fails to provide the efficient outcome and suggest interventions through either marked design or regulation.

What's included

20 videos4 quizzes1 discussion prompt

Up to this point we assumed that there is full information in the market. We are now ready to relax this assumption as we introduce the concepts of moral hazard and adverse selection. We learn that asymmetric information may lead to market failure and we discuss some remedies. The last segment in the course is a reminder that besides efficiency, equity is also a criteria we all care about. A short introduction will explore how economist measure poverty and inequality.

What's included

10 videos3 quizzes1 discussion prompt

Instructor

Instructor ratings
4.8 (98 ratings)
Rebecca Stein
University of Pennsylvania
3 Courses96,348 learners

Offered by

Recommended if you're interested in Economics

Why people choose Coursera for their career

Felipe M.
Learner since 2018
"To be able to take courses at my own pace and rhythm has been an amazing experience. I can learn whenever it fits my schedule and mood."
Jennifer J.
Learner since 2020
"I directly applied the concepts and skills I learned from my courses to an exciting new project at work."
Larry W.
Learner since 2021
"When I need courses on topics that my university doesn't offer, Coursera is one of the best places to go."
Chaitanya A.
"Learning isn't just about being better at your job: it's so much more than that. Coursera allows me to learn without limits."

Learner reviews

Showing 3 of 611

4.8

611 reviews

  • 5 stars

    81.04%

  • 4 stars

    15.03%

  • 3 stars

    3.43%

  • 2 stars

    0.16%

  • 1 star

    0.32%

PD
5

Reviewed on Jan 1, 2019

JD
5

Reviewed on Feb 26, 2021

VR
5

Reviewed on May 23, 2017

Placeholder

Open new doors with Coursera Plus

Unlimited access to 7,000+ world-class courses, hands-on projects, and job-ready certificate programs - all included in your subscription

Advance your career with an online degree

Earn a degree from world-class universities - 100% online

Join over 3,400 global companies that choose Coursera for Business

Upskill your employees to excel in the digital economy

Frequently asked questions