Professor Bernhard von Stengel, COL 4.12 and Dr Ron Peretz.

Optional for BSc Accounting and Finance, BSc Business Mathematics and Statistics, BSc Econometrics and Mathematical Economics, BSc Economics, BSc Mathematics with Economics and BSc Mathematics and Economics. Available as an outside option. Available to General Course students with permission. This course cannot be taken with MA301 Game Theory I.

Basic knowledge of matrices as covered in Mathematical Methods (MA100) or Quantitative Methods (MA107). Some knowledge of probability. Knowledge of economics as covered in Microeconomic Principles I (EC201) or Microeconomic Principles II (EC202).

Concepts and methods of game theory with applications to economics. Part I: same as for Game Theory I (MA301). Part II: Information and knowledge. Strategic value of information. Equilibrium selection. Repeated Games.

 

40 lectures (MA300.1 and MA300.2), 20 classes (MA300.1A and MA300.2A) in MT and LT. Revision lectures in ST.

Weekly exercises are set and marked.

Lecture notes will be provided. K Binmore, Playing for Real: Game Theory CUP, 2007; R Gibbons, A Primer in Game Theory, 1992; Mas-Colell, Whinston, and Green: Microeconomic Theory, Osborne and Rubinstein: A course in Game Theory. Supplementary reading: E Mendelson, Introducing Game Theory and Its Applications.

A three-hour written examination in ST.