ØASØK4700 Labour Economics Course description

The course introduces students to basic economic theories of how labour market functions and the policy implications. It will also present empirical methods used in the current literature to analyse the roles of market institutions and policy interventions of various kinds. Topics include market equilibrium in competitive and non-competitive labour markets, human capital, unemployment, job search, migration, discrimination and collective bargaining.

Language of instruction is Norwegian.

All aids are permitted, as long as the rules for source referencing are complied with.

No aids are permitted for the oral exam.

None

After completing the course, students will acquired the learning outcomes defined in knowledge, skills and general competence:

Knowledge

The student has

• in-depth knowledge of the economic theories of labour market, including what factors determine the supply decisions of workers and the demand decisions of employers and how the labour market balances out the conflicting interests of the two parties
• advanced knowledge of how various institutional features (labour market discrimination, labour union, incentive pay systems etc.) impact the labour market outcomes (distribution of earnings, employment opportunity etc.)
• advanced knowledge of how investments in human capital determine the shape of the wage distribution
• advanced knowledge of how unemployment exists and persists in labour markets and the challenges in policymaking addressing unemployment

Skills

The student can

• analyse theoretical models to investigate how labour markets function and interpret the model findings to address challenges in policymaking
• analyse relevant data and design empirical models to investigate effects of economic and social policies (migration, discrimination, education etc.) on labour-market outcomes
• analyse empirical evidence and relate critically to economic theories to enhance understanding of policy effects and to make policy recommendations
• acquire skill to work independently to develop and study research questions using existing theories and research methods

General competence

The student can

• communicate with practitioners and policy makers to design and analyse labour-market policies
• engage in analytical discussions of economic reports and policy papers
• disseminate knowledge through presentation and discussion to both specialists and to the general public
• critically reflect on scope and limitations of economic policies to address the functioning of labour markets

Various work methods will be used such as lectures, interactive discussions about current issues, and assignments. The students are expected to work on assignments both individually and in groups outside of the joint lectures.

The course covers advanced valuation techniques used for thorough modeling of a firm's value. The aim is to provide students with advanced knowledge and in-depth understanding of the concepts behind fundamental value, and the underlying assumptions to sensibly apply their existing theoretical understanding of valuation. The goal is no longer to calculate a price, but to build a model to understand how different assumptions or potential future events impact the value of the firm. The course will be relevant for students seeking a career in equity research, investment banking, management consulting, and larger corporations in Norway and internationally.

None

After completing the course, the student should have the following overall learning outcomes defined in terms of knowledge, skills and general competence:

Knowledge

The student has

• obtained an advanced and integrated understanding of fundamental drivers of value, and valuation techniques
• implemented and understood the use of this knowledge in practical settings

Skills

The student

• is able to apply the advanced valuation techniques to real companies, to form an informed opinion as to the fair value of a company
• has increased competence in presenting and discussing complex corporate valuation issues in a challenging context
• is able to take complex financial information and distil them into relevant information for the valuation process
• is able to confidently present the findings of their analysis verbally and in written and presentation of the fair value of a corporation or project towards investors, top management, and board of directors

General competence

The student

• has completed demanding case work and presentations as constructive members of a student group
• can produce alternative methods or resolve discrepancies and argue why they are good solutions to the problem

The students require a lot of practice to develop their analytical abilities. The subject matter is taught through ordinary lectures, guest lectures, group hand-ins and presentation, as well as discussions relating to case exercises.

The Course is taught around 4 "blocks", where the first 3 hand-ins are steppingstones to the final report and presentation. Each student group has one case company throughout the course. Each block has the same structure of lectures/discussions, quiz, case work, presentation with feedback. This gives the students a piecemeal approach to the process of analyzing and valuing a publicly listed company.

The students will be given feedback on their Presentation, Writing and Typography skills in relation to their reports and presentations of their case company. The final report and presentation will partly be graded on how convincing, understandable, and well argued the report and presentation are. Succinctly arguing your findings is therefore essential.

The teaching is coordinated with ØABED3700.

The following coursework requirements must have been approved for the student to take the exam:

• Coursework 1: Buy-side analysis
  • Consists of an individual online quiz, and a written report (6 pages) and oral presentation (10 min + 10 min feedback) carried out in groups
• Coursework 2: Analyzing Performance
  • Consists of an individual online quiz, and a written hand-in (spreadsheet/slides with analysis + log) and oral presentation (10 min + 10 min feedback) carried out in groups
• Coursework 3: Forecasting Performance
  • Consists of an individual online quiz, and a written hand-in (spreadsheet/slides with analysis + log) and oral presentation (10 min + 10 min feedback) carried out in groups

Each group is assigned a separate publicly listed case company within a common industry for 3-5 other groups in the class. The case company assigned to a group is analyzed throughout all coursework and is the subject of the final report and presentation for that group.

The coursework requirements will be carried out in groups of 3 students, except for one or two groups of 2 if the number of students is indivisible by 3. These group stay the same throughout the coursework and exam. Changes will be done in agreement with the lecturer on a case-by-case bases.

The aim of the coursework requirements is to work systematically towards producing the content necessary for a good final report and presentation.

All required coursework must be completed and approved by the given deadline for the student to take the exam. If one or more coursework requirements have not been approved, the student will be given one opportunity to submit an improved version by the given deadline.

The exam in the course consists of two parts:

1) A portfolio containing a reworked 10-page (excluding appendices) Sell-side report based on the three written assignments carried out in groups during the coursework requirements. The assignments must be delivered in revised form.

2) An oral exam carried out in groups (10 minutes).

The final grade will be based on two equally weighted parts.

All parts of the exam must be passed in order to pass the course.