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Program

Updated A.Y. 2020-2021

Static games of complete Information: main solution concepts. Existence theorems. Applications: models of imperfect competition. Dynamic games of complete information. Representation through extensive form and backward induction. Subgame perfection. Introduction to repeated games. Applications: bargaining models. Games of incomplete information and bayesian equilibria. Adverse selection. Applications: Competitive screening and signalling in the labor market. Moral hazard. Application: Strategic default in financial markets.

 

Textbooks: R. Gibbons “A Primer in Game Theory”, 1992, Chapters 1-3. Mas Colell, A., Whinston M., and J Green “Microeconomic Theory” , 1995; Chapter
13.