This course builds on basic microeconomic theories and concepts and extends the theory to deal with the idiosyncrasies of the transport sector. For example, the concept of "price" is generalized to include the value of time to the traveller. The demand for transporting freight is explained using the theory of the derived demand for an input, but the impact of modern approaches to management (e.g. logistics) is considered. Just as the concept of "price" requires modification, "output" too has many dimensions. In particular, this course will examine ways in which transport firms derive economies of scale when they operate in a network. It covers concepts of price discrimination, social cost benefit analysis and regulation. The course also uses case studies to provide important insights into the economics and management of different parts of the transport sector.