Objective: 
The purpose of the course is to introduce students in relatively new field in economic theory: the modern institutional economics, mainly its part called the New Institutional Economics (NIE). Knowledge of its basic concepts, methods and tools of dealing with economic problems seems to be very useful particularly in analysing economic problems of so called “transition economies”

Assessment: 
Written examination

Contents: 

Lectures
1. Introduction.
2. Initial characteristics of New Institutional Ecomomics (NIE).
3. NIE on markets.
4. Elements of transaction costs.5. Property rights.
6. NIE and contract theory.
7. Firms in the NIE.
8. Final exam.

Recommended reading: 

• The New Institutional Economics, Coase Ronald, American Economic Review, USA, 1998
• The New Institutional Economics: Taking Stock, Looking Ahead, Williamson Oliver, USA, 2000
• Institutions, North Douglas, The Journal of Economic Perspectives, USA,
• Institutions and Economic Theory: An introduction to and assessment of the NIE, Furubotn E.G., Richter R., University of Michigan Press, USA,
• The Firm, the Market, and the Law, Coase R.H., The University of Chicago Press, USA, 1988