Applies theories of microeconomics and operations research to decision behavior and mechanism design in market organizations with asymmetric information structures. Forecasting and valuing project cash flows. Designing and managing projects to create and capitalize on operating options and follow-on investment opportunities. Financing alternatives and the relationship between investment type and optimal financial structure. The course format is a combination of lecture, seminar, and project.
Students work in teams to address a practical problem in investment.
Faculty assist in identifying appropriate projects and in developing students' understanding of relevant analytical tools, while students assume full responsibility for project analysis and presentation to the decision maker. Short projects illustrate the basic application and implementation of investment principles. Students complete a new project from industry. Enrolled students must present either their own research or, subject to the approval, recent research by others. Topics vary with the current research interests of seminar participants.