This document outlines an introductory game theory course including the instructor, prerequisites, course content divided into weekly topics, required textbooks, grading breakdown consisting of problem sets, midterm and final exam, and expectations for students to prepare for classes and do exercises.
This document outlines an introductory game theory course including the instructor, prerequisites, course content divided into weekly topics, required textbooks, grading breakdown consisting of problem sets, midterm and final exam, and expectations for students to prepare for classes and do exercises.
This document outlines an introductory game theory course including the instructor, prerequisites, course content divided into weekly topics, required textbooks, grading breakdown consisting of problem sets, midterm and final exam, and expectations for students to prepare for classes and do exercises.
This document outlines an introductory game theory course including the instructor, prerequisites, course content divided into weekly topics, required textbooks, grading breakdown consisting of problem sets, midterm and final exam, and expectations for students to prepare for classes and do exercises.
This is an introductory course in Game theory. Game theory is a tool for analyzing strategic situations. A better name for game theory would have been multi-person decision theory. The primary thing to understand is that the outcome for any individual depends not only on her individual action, but also on the actions of other individuals. Applications include, firm behavior, matching, auctions et. al. In this course we will learn solution concepts and their applications. Game theory is a mathematical tool. Although there are no mathematical pre- requisites for this course, I would like to emphasize at the outset that Game Theory is a rigorous course that needs abundant application of mathematical logic and reasoning. This course will be a mix of two things: 1) application and understanding of game theoretic concepts, and 2) some formal definitions and proofs.
Teaching Method: Game theory is a theoretical subject. A good portion of the time will be spent on introducing the theoretical concepts and trying to understand them. We will also have seen applications of those theoretical concepts. Without the applications the concepts will remain abstract and at times difficult to understand. We will try a more hands-on approach. You will be receiving exercises, both in class and outside class--- that would facilitate the learning.
Textbooks and Readings:
Required Textbook: ``Strategy: An Introduction to Game Theory”, by, Joel Watson.
(Third Edition).
Highly recommended secondary textbook: ``An Introduction to Game Theory”, by
Martin. J. Osborne. The Osborne text has a website where you can find solutions to all the problems marked in the book. Course Contents: This course content is tentative. We will try to cover most of it, time permitting. I will divide the course content in terms of topics that will be covered every week.
Week 1: Introduction & decision making under uncertainty.
Week 2: Representation of games- normal form and extensive form games Week 3: Dominance Week 4: Rationalizability Week 5: Nash Equilibrium Week 6: Applications Week 7: Further Applications &MIDTERM (tentative date: March 4, 2024) Week 8: Mixed Strategy Nash Equilibrium Week 9: Backward Induction and Subgame Perfect Equilibrium Week 10: Bargaining (alternating Offers) Week 11: Repeated Games Week 12: Static Games of Incomplete Information Week 13: Applications of Incomplete Information games --- First Price Auctions
Grading:
1. Problem Sets (4 in total; 2 before the midterm; 2 after the midterm) 25% (All assignments will have to be uploaded via Moodle.)
2. Midterm will carry a weight of 30% (tentative date: March 4, 2024)
3. Final (date: TBA) 45%
General Suggestion: Game theory is a mathematical tool. Although the course does not require any pre-existing mathematical knowledge, the nature of the course is such that, at times it will involve abstract logical reasoning. As with any mathematical course the only way to understand the concepts is by practicing problems. There will be problems that we will discuss in class. In short, the class will be interactive. The Osborne text has a website where you can find solutions to all the problems marked in the book. I suggest that you go through some of them. There are at least a dozen other introductory game theory books that would provide excellent supplementary reading.
Expectation: I expect you to prepare for the classes and do the exercises. To get the most out of each class, you may find it useful to read ahead. A weekly schedule of topics and readings will be posted on Moodle. There will be four problem sets. It is strictly forbidden to copy someone else's work, even if you work together in a study group. The problem sets and their solutions will be posted on Moodle in due course. Note that to practice solving problems is the most important part of your work if you want to succeed in this course.
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