Course overview
This course provides an introduction to Game Theory. Game Theory is a mathematical framework which makes possible the analysis of the decision making process of interdependent subjects. It is aimed at explaining and predicting how individuals behave in a specific strategic situation, and therefore help improve decision making. A situation is strategic if the outcome of a decision problem depends on the choices of more than one person. Most decision problems in real life are strategic. The course will explain in depth the standard equilibrium concepts (such as Nash Equilibrium, Subgame-Perfect Nash Equilibrium, and others) in Game Theory. To illustrate the concepts, real-world examples, case studies, and classroom experiments might be used. Students will also participate in a group project involving the use of Game Theory to model contemporary issues.
Course learning outcomes
- Identify strategic situations and represent them as games.
- Solve simple games using various techniques.
- Analyse economic situations using game theoretic techniques.
- Recommend and prescribe which strategies to implement.
- Model any strategic interaction as a game and critically analyse the potential outcomes