Microeconomics – Strategic Interaction (Spring 2012)

Schedule

 Non-Cooperative Game Theory: Reading instructions

Literature:      Mas-Colell A, Whinston M D and Green J R: Microeconomic Theory, Oxford University Press, 1995 (MWG).

 This part of the course is divided into four main parts:

1.  Static games of complete information.

2.  Dynamic games of complete information.

3.  Games of incomplete information.

4.  Applications

1. Static games of complete information:  MWG: Chapter 7: 7.A, B and E.  Chapter 8:  8.A-D.

·         Basu, K. and J.W. Weibull (1991), “Strategy subsets closed under rational behavior,” Economics Letters 36, pp. 141–146 (pdf).

2. Dynamic games of complete information:  MWG: Chapter 7: whole chapter. Chapter 9: 9.A and B.  Chapter 12: 12.C (pp. 387-394), D and G, Appendix A and B.

3. Games of incomplete information:   MWG: Chapter 8: 8.E.  Chapter 9:  9.C (pp. 282-288). 

·    Additional material in handout.

4. Applications