## Industrial Organization: Theory and Applications"This book presents the main ideas of modern industrial organization, many of which are explained without using calculus. Only the ability to follow logical arguments is needed for these sections. Oz Shy also provides a very nice introduction to topics which are typically not covered in other texts, namely the basic results about compatibility and the choice of standards as well as a concise analysis of specific industries." -- Jacques Thisse, Professor of Economics at the Sorbonne and CERAS, Paris This upper-level undergraduate text provides an introduction to industrial organization theory along with applications and nontechnical analyses of the legal system and antitrust laws. Using the modern approach but without emphasizing the mathematical generality inherent in many of the arguments, it bridges the gap between existing nontheoretical texts written for undergraduates and highly technical texts written for graduate students. The book can also be used in masters' programs, and advanced graduate students will find it a convenient guide to modern industrial organization. |

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### Contents

Introduction | 1 |

Theoretical Background | 9 |

Technology Production Cost and Demand | 43 |

Perfect Competition | 63 |

The Monopoly | 71 |

Markets for Homogeneous Products | 97 |

Markets for Differentiated Products | 133 |

Concentration Mergers and Entry Barriers | 169 |

Advertising | 281 |

Quality Durability and Warranties | 307 |

TwoPart Tariff and PeakLoad | 341 |

Bundling Upgrading | 361 |

Chapter 13 excluding section 13 | 372 |

Section 14 2 | 385 |

Management Compensation and Regulation | 395 |

Section 15 5 | 416 |

of entry cost | 191 |

215 | |

Research and Development | 221 |

Section 9 5 | 239 |

The Economics of Compatibility and Standards | 253 |

### Common terms and phrases

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