(Revised November 2002)
Code: UPEN4L-15-M Title: Political Economy of Firms and
Industries Version: 1
Level: M UWE
credit rating: 15 ECTS credit rating: 7.5
Module type: Standard
Owning Faculty: HLSS Field: Economics
Valid from: September 2004 Discontinued from:
Pre-requisites: None
Co-requisites: None
Excluded combinations: None
Learning outcomes:
At the end of this module you should be able to:
·
appreciate a range of perspectives on the firm and on industries (Component
A & B, elements 1 & 2)
·
develop a critique of the standard economic treatment of firms and
industries (Component A & B, elements 1 & 2)
·
evaluate the role of government in relevant policy areas, such as
competition and industrial policy (Component A & B, elements 1 & 2)
·
appraise the reasons for the existence and nature of multinational
corporations (Component A & B, elements 1 & 2)
·
discuss different meanings and assessments of competition (Component A
& B, elements 1 & 2)
·
show understanding of different interpretations of the internal
organisation of the firm (Component A & B, elements 1 & 2)
·
critically evaluate views on the relative superiority of public and
private ownership (Component A & B, elements 1 & 2)
Syllabus outline:
·
Competing views on firms and industries: the standard approach
criticised; Austrian, Marxian and post-Keynesian views examined; key issues in
the political economy of firms and industries, such as the concept of power and
the use of modelling; relationships between the different approaches; key
figures in the competing perspectives
·
The nature and internal organisation of the firm: the black-box
approach; the firm’s organisation as a struggle between opposed forces; the
firm as a nexus of contracts; the firm as a dynamic innovative organism; the
firm as a barrier against uncertainty; explanations of hierarchies in firms
·
Theories of competition: treatments of competition as a state versus
treatments of competition as a process; Structure-Conduct-Performance and
contestability; competition as a market process; creative destruction;
Classical and Marxian theories of competition; tendencies to concentration and
centralisation of capital; stagnation of market structures; monopoly capitalism;
interpretations of competition policy
·
Multinational corporations: MNCs as efficient allocation solutions; MNCs
as extensions of trade relations; MNCs as a stage of capitalism; MNCs as
hierarchical structures; MNCs as promoters and destroyers of competition;
industrial policy towards MNCs
·
Public versus private ownership: theoretical arguments for and against
private ownership; public ownership in the context of political struggle;
public versus private ownership of key sectors, such as healthcare, media, and education; empirical evidence on
ownership effects; privatisation programmes and their effects; new forms of
privatisation, such as Private Finance Initiative and Public-Private
Partnership schemes
Teaching and learning
methods:
A variety of teaching methods will be used. Often,
sessions will be student-led. They might, for instance, entail a student
presentation of their own argument. Many sessions will examine in depth
specific issues or pieces of literature. Such discussions reinforce and develop
any material delivered by the lecturer.
Indicative sources:
Books:
Sawyer, M., 1985, Economics of Industries and Firms: Theories, Evidence and Policy, London:
Croom Helm.
Putterman, L., 1996, The Economics of the Firm: A Reader, Cambridge; Cambridge
University Press.
Clarke, T. and Pitelis, C., 1993, The Political Economy of Privatisation,
London: Routledge.
Chandler, A., 1962, The Visible Hand: The Managerial Revolution in American Business, London: Harvard
University Press.
Lachmann, L., 1986, The Market as an Economic Process, Oxford: Blackwell.
Vickers, J. and Yarrow, G., 1988, Privatisation: An Economic Analysis,
London: MIT Press.
Glick, M., 1994,
Competition, Technology and Money:
Classical and Post-Keynesian Perspectives, Aldershot: Elgar.
Hayek, F. von., 1976, Denationalisation of Money:
An Analysis of the Theory and Practice of Concurrent
Currencies, London: IEA.
Dicken, P., 1998, Global Shift: Transforming the World Economy, New York: Guilford
Press.
Journals:
Review of Political Economy
Fiscal Studies
Journal of Political Economy
Cambridge Journal of Economics
Review of Radical Political Economics
Economic Journal
Journal of Economic Perspectives
Scottish Journal of Political Economy
Assessment
Weighting between components
A and B (standard modules only) A: 50% B: 50%
ATTEMPT 1
First Assessment
Opportunity
Component A
Description of each element Element weighting
1. Unseen 2
hours exam 50%
Component B
Description of each element Element
weighting
1. Individual
student essay 2000 words 40%
2. Oral
presentation of student essay 10%
Second Assessment
Opportunity (further attendance at taught classes is not required)
Component A
Description of each element Element
weighting
1. Unseen 2
hours exam 50%
Component B
Description of each element Element
weighting
1. Individual
student essay 2500 words 50%
SECOND (OR SUBSEQUENT)
ATTEMPT: Attendance at taught classes is not required.
Specification confirmed
by ……………Module approved at VARSC
13.05.04.…
Date ……………………………
(Associate Dean/Programme
Director)