363-0558-00L  Introduction to Game Theory: Strategic and Cooperative Thinking

SemesterSpring Semester 2020
LecturersV. Britz
Periodicityyearly recurring course
Language of instructionEnglish
CommentIt is recommended to take 363-0503-00L Principles of Microeconomics first.

AbstractNoncooperative and Cooperative Game Theory, concepts and applications
ObjectiveThe goal of the lecture is to learn how to think strategically or cooperatively and to apply the concepts
of game theory to economic, social, political, and business situations.

Students will gain competence in a variety of standard game-theoretic concepts. They will also become familiar with the ways in which these concepts are applied in Economics and related disciplines.
ContentPart 1: Strategic Thinking (Noncooperative Game Theory)

Thinking in static and dynamic games with complete and incomplete information

Part 2: Cooperative Thinking (Cooperative Game Theory)

Thinking in repeated and cooperative games.

The purpose of the course is to provide an introduction to both cooperative and non-cooperative game theory. The course will start from scratch with the most basic game-theoretic concepts, such as weak and strict dominance, or Nash equilibrium. Progress will be rather swift, however, and the course will cover more advanced concepts such as signaling games and Bayesian equilibrium.

Students will gain an understanding of the broad relevance and applicability of game theory in Economics and related disciplines.

Instruction will take several forms such as lectures, exercises, and experiencing some of the games discussed in the lectures.
Lecture notesFor inquiries and questions regarding the course organization please send an email to Dr. Oriol Tejada (toriol@ethz.ch).
LiteratureDavis (1997): Game Theory: A Nontechnical Introduction. Courier Dover Publications
Dixit and Nalebuff (1991): Thinking Strategically. W.W. Norton & Company
Fudenberg and Tirole (1991): Game Theory. MIT Press
Gibbons (1992): Game Theory for applied economists. Princeton University Press
Mas-Collel et al. (1995): Microeconomic Theory. Oxford University Press
Myerson (1992): Game Theory: Analysis of Conflict. Havard University Press
Osborne (2003): An Introduction to Game Theory. Oxford University Press
Watson (2002): Strategy: An Introduction in Game Theory. W.W. Norton & Company
Prerequisites / NoticeThe lecture will be in English.