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Nature of course request C01420 :

New course

Undergraduate

First term offered : Spring 2011
Course Prefix&Number	Descriptive Title	Credits/Hours
EC 365	Economics of Organized Crime	4 - 0

Abbreviation for Class Schedule(20 spaces) ECON ORG CRIME

Catalog Description: The course will survey recent scholarly articles and publications concerning the economics of organized crime. The course will be structured around four focus areas: first, the economic methodology used to explain and predict the activities of organized crime; second, the behavior and economic impact of organized crime in Sicily and the United States; third, the behavior and economic impact of organized crime in the former Soviet Union; and fourth, a review of recent research on organized crime around the world. Prerequisites: EC 311 or consent of instructor

Course Goal and Objectives: This course is essentially an Industrial Organization (IO) perspective on organized crime. Organized crime is analyzed like an industry, specifically a cartel in which competition exists among firms belonging to the cartel and between rival cartels. The class applies many tools and concepts from IO ¿ among others specialization. transactions costs, market structure, entry and exit, pricing strategies, raising rivals¿ costs, dynamics of cartels, market power, non-price competition, and public goods, and game theory. The goal is for students to understand that standard tools of IO help explain and predict behavior of organized crime groups. In addition, the class will focus on different remedies to combat organized criminal behavior by examining the successes and failures of specific efforts by government across the globe.

Justification for adding the course (e.g. alignment with other institutions, program revision, etc.): I have taught this class three times as a 407 course (a copy of the most recent syllabus is included below). The class has been successful in teaching students how to analyze organized crime using economic concepts. The structure of the class as a seminar has also allowed students to become more proficient presenting and critiquing academic publications on organized crime, as well as developing the skills that lead to in-depth and enlightening discussions.

Faculty and facilities needed: None

Brief Course outline: The course will survey recent scholarly articles and publications concerning the economics of organized crime. The course will be structured around four focus areas: first, the economic methodology used to explain and predict the activities of organized crime; second, the behavior and economic impact of organized crime in Sicily; third, the behavior and economic impact of organized crime in the former Soviet Union; and fourth, a review of two recent books on organized crime around the world. The course will be conducted as a seminar and each student will be required to discuss several readings over the course of the term. Students who are not presenting a paper during a seminar will be required to prepare a list of questions concerning the reading(s) and participate in seminar discussions. Readings: ¿An economic model of criminal behavior.¿ Daryl Hellman ¿The economics of crime.¿ Paul Rubin. ¿Economics and criminal enterprise.¿ Thomas Schelling ¿What is the business of organized crime?¿ Thomas Schelling ¿A defense of organized crime¿ James Buchanan ¿Conspiracy among the many: the mafia in legitimate industries.¿ Diego Gambetta & Peter Reuter ¿The political economy of organized crime: providing protection when the state does not.¿ Stergios Skaperdas ¿When does organized crime pay? A transaction cost analysis.¿ Andrew Dick The Sicilian Mafia. Diego Gambetta ¿What¿s wrong with the mafiya anyway?¿ James Millar ¿The Russian mafiya: economic penetration at home and abroad.¿ Mark Galeotti ¿Mafianomics: how did mob entrepreneurs infiltrate and dominate the Russian economy?¿ Mark

Approval Queue C01420

Attached Files:

EC 365 Syllabus.docx

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