GAMES AND DECISIONS
- Assessment methods
- Learning objectives
- Delivery method
- Teaching methods
Mathematics. In particular, derivative rules and single-variable optimization.
The aim of the course is to provide students with the basic elements of non-cooperative game theory and decision science. In particular, at the end of the course students will know the analytical tools for understanding, modeling and forecasting the strategic behaviors of economic agents.
Students will also know the main economic and financial applications of the theory of games and decisions, such as mechanisms of price formation based on Cournot and Bertrand competition, the management of natural resources, auctions, voting system.
1) Matrix games and games in normal form;
2) Nash equilibrium;
3) Test for the existence of a Nash equilibrium;
4) Mixed strategies;
5) best-reply functions;
6) Nash's theorem;
7) Economic applications: Cournot and Bertrand oligopolies, management of natural resources, auctions, voting system;
8) Decision theory with applications to finance;
9) Extensive form games and backward induction;
10)Evolutionary games and evolutionary stable equilibria.
C. D. Aliprantis e S. K. Chakrabarti, Games and Decision Making, Oxford university press, 2010.
OFFICE HOURS: Every Monday from 4.00 pm to 5.00 pm.