Network Analysis


Course Objective

Firms and consumers typically operate in various types of networks.These
can be both physical networks (such as transport and communication
networks) and non-physical networks (such as information networks). The
main objective of this course is to give you a basic understanding of
economic network theory, which enables you to identify the relevance and
consequences of networks for firms as well as for consumers.

After following this course, you:
- have a basic understanding of the fundamental economic principles
underlying applied network theory;
- understand the role and behavior of various agents (government,
consumers and firms) within network sectors;
- are able to understand the economic impacts that various forms of
networks (i.e., transport networks, consumer networks, information
networks, clustering of firms) have on the nature, size and behavior of
- are able to determine optimal firm and consumer behavior conditional
on the nature of the network;
- and have used applied network theory with (stylized) cases studies, in
order to determine optimal firm or consumer behavior in combination with
the nature of the network.

Course Content

The economic principles behind networks and their consequences for both
firms and consumers form the backbone of this course. The lectures
specifically deal with the following topics:
- basic applied network theory;
- government interventions in network sectors;
- clustering and spill-over effects between firms;
- network sectors (e.g. telecom, transportation, energy);
- information and communication goods;
- switching costs and lock-in effects;
- network externalities.

In the working groups we will make use of the software package R, as it
is capable of optimizing, analysing and plotting network structures
(amongst many other things). A basic understanding of R is recommended
but not necessary, as tutorials will be provided and working groups
typically constitute of in-class hands-on assignments as well.

Teaching Methods

Lectures and working groups concentrate on the application of network
theory on stylized case studies.

Method of Assessment

Written interim examination (75%) and assignments (25%)

Entry Requirements

Transport Economics and Management (or knowledge of microeconomics at a
bachelor level)


- Syllabus
- Selected papers

General Information

Course Code E_BA_NA
Credits 6 EC
Period P2
Course Level 400
Language of Tuition English
Faculty School of Business and Economics
Course Coordinator dr. T. de Graaff
Examiner dr. T. de Graaff
Teaching Staff dr. T. de Graaff

Practical Information

You need to register for this course yourself

Last-minute registration is available for this course.

Teaching Methods Seminar, Lecture
Target audiences

This course is also available as: