This course provides an introduction to fundamentals of economic transactions and market analysis. The course begins by identifying sources of gains from trade and then analyzes economic principles associated with the design and execution of commercial transactions. Specific topics include the economic functions of contracts; the role of prices in aligning incentives, allocating risk, and minimizing disputes; the functions and operation of markets, including fundamentals of futures markets; the nature, sources, and consequences of transaction costs; and the role of firms and other organizations. The primary focus is on the value-enhancing function of contracts and markets, but attention will also be given to potential anticompetitive effects of business practices and their treatment by the antitrust laws.