Introduces the main tools of noncooperative game theory as used in current economics literature. Topics include formalities of modeling competitive situations, various solution concepts such as Nash equilibrium and its refinements, signaling games, repeated games under different informational environments, bargaining models, issues of cooperation and reputation. Applications from economics, politics, law, corporate and business strategy. Lecture, discussion, problem sets, exams. Prerequisites: Economics 57 and 102.
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Paul R. Milgrom, Douglass C. North, Barry R. Weingast,
THE ROLE OF INSTITUTIONS IN THE REVIVAL OF TRADE: THE LAW MERCHANT, PRIVATE JUDGES, AND THE CHAMPAGNE FAIRS, Economics & Politics, 1990
Roger B. Myerson, Economics Department, University of Chicago, JUSTICE, INSTITUTIONS, AND MULTIPLE EQUILIBRIA
Laibson, David , Intertemporal Decision Making, Encyclopedia of Cognitive Science