Game Theory

A.Y. 2020/2021
6
Max ECTS
40
Overall hours
SSD
SECS-P/01
Language
English
Learning objectives
The aim of this course is to equip students with the tools required to understand game theory and its traditional solution concepts.
Game theory is the mathematical analysis of strategic interactions.
The course will cover normal form and extensive form games, games of perfect, imperfect and incomplete information, and will present equilibrium concepts such as Nash equilibrium, perfect equilibrium, subgame perfect equilibrium, and sequential equilibrium.
We will also discuss a variety of examples including classic games and some economic applications.
Expected learning outcomes
By the end of the course students will be able to model situations of economic and social interaction as games, discuss and predict the behavior of players according to different solution concepts, understand the benefits and limitations of those concepts, model incomplete information in games, and critically comprehend existing economic models.
Course syllabus and organization

Single session

Responsible
Lesson period
First trimester
Lectures will be delivered in Microsoft Teams in a dedicated channel named "Game Theory - 2020/21".
Course syllabus
Normal form games:
· Nash equilibrium
· Dominance
· Perfect equilibrium
· Incomplete information

Extensive form games:
· Backward induction
· Subgame perfection
· Weak perfect bayesian equilibrium
· Sequential equilibrium

Examples and economic applications
Prerequisites for admission
There is no formal requirement. Students must be comfortable with mathematical thinking and rigorous arguments.
Teaching methods
Frontal lectures.
Teaching Resources
A. Mas-Colell, M.D. Whinston, J.R. Green, Microeconomic Theory, Oxford University Press.
E. van Damme, Stability and Perfection of Nash Equilibria, Springer-Verlag, Berlin.
Assessment methods and Criteria
The final assessment is based on a written exam at the end of the course, which will focus on material presented and discussed in lectures.
Students can gain extra points through active participation during lectures.
SECS-P/01 - ECONOMICS - University credits: 6
Lessons: 40 hours
Professor: Meroni Claudia
Educational website(s)
Professor(s)
Reception:
By appointment
Room 1, Floor 2 (DEMM)