The first part of the course will be devoted to the Walrasian model of general competitive equilibrium in price theory. Topics include: basic models of consumers' preferences and demand, the core of an exchange economy, general equilibria in competitive market systems, modeling productive firms in competitive markets, existence and Pareto efficiency of competitive equilibria, and extensions of the general equilibrium model to include time and uncertainty. Then the second part of the course introduces the fundamental ideas of game theory: strategic-form games, Nash equilibrium, games with incomplete information, extensive-form games, sequential equilibrium, and repeated games. Winter 2017.
This course introduces students to the basic ideas and applications of game theory. Topics include models of games in extensive and strategic form, equilibria with randomization, Bayesian games where players have different information, sequential equilibria and beliefs in extensive games, and models of reputations and relationships in repeated games. Spring 2017.