Game Theory(ECON311)
| Course Code | Course Name | Semester | Theory | Practice | Lab | Credit | ECTS |
|---|---|---|---|---|---|---|---|
| ECON311 | Game Theory | 5 | 3 | 0 | 0 | 3 | 5 |
| Prerequisites | |
| Admission Requirements |
| Language of Instruction | Turkish |
| Course Type | Compulsory |
| Course Level | Bachelor Degree |
| Course Instructor(s) | Bilge ÖZTÜRK GÖKTUNA goktunabilge@gmail.com (Email) |
| Assistant | |
| Objective | This course aims to provide basic knowledge and familiarity with the concepts and methods in game theory, which is of importance in natural and social sciences. Another objective is to enable the students to implement game theoretic reasoning to economic and social issues. |
| Content | This course offers an overview of the principal solution concepts and applications of game theory. Game theory is widely used in social sciences to analyse strategic interactions in a variety of contexts. The actions taken by others, competitors, buyers, suppliers, regulators and such, affect companies' market and non-market opportunities. When making decisions companies thus need to anticipate the actions taken by others. Game theory is a methodological tool best suited at analysing such interactions. The course consists of two parts. First, it introduces the principal solution concepts used in game theoretical models (dominance, Nash equilibrium concept, sub-game perfection and sequential equilibria), then it studies applications of game theory in a number of areas, such as bargaining, signaling, spatial models. |
| Course Learning Outcomes |
1. strategic considerations to take into account making choices 2. prediction of how other people or organizations behave in strategic settings 3. new concepts, methods and terminology to apply these tools to settings from economics |
| Teaching and Learning Methods | The students are expected to learn concepts and methods in class and work on assignments. |
| References |
A. Dixit and B. Nalebuff. Thinking Strategically, Norton 1991 J. Watson. Strategy: An Introduction to Game Theory, Norton 2002 P.K. Dutta. Strategies and Games: Theory And Practice, MIT 1999 G. Demange et J.-P. Ponsard Théorie des Jeux et Analyse Economique, 1994 Bierman and Fernandez, Game Theory with Economic Applications, Second Edition, Addison Wesley (1998). Fudenberg and Tirole, Game Theory, MIT Press (1991). Gibbons, Game Theory for Applied Economists, Princeton University Press (1992). Krishna, Auction Theory, Academic Press (2002). |
Theory Topics
| Week | Weekly Contents |
|---|---|
| 1 | Introduction and examples |
| 2 | Static games under perfect information-Representation by normal form |
| 3 | Dominant strategy equilibrium and Rationalization |
| 4 | Variable sum games and pure strategy Nash equilibrium |
| 5 | Nash equilibrium applications |
| 6 | Mixed strategy Nash equilibrium-Applications |
| 7 | Static games under imperfect information-Asymmetric information |
| 8 | Dynamic games under perfect information-Dynamic games under perfect and complete information-Extensive form games-Backward induction |
| 9 | Credibility-Commitment |
| 10 | Dynamic games under complete and imperfect information-Subgame perfect equilibrium-Applications |
| 11 | Bayesian games-Bayesian Nash equilibrium |
| 12 | Perfect Bayesian equilibrium |
| 13 | Signalling games and applications |
| 14 | Signalling games and applications |
Practice Topics
| Week | Weekly Contents |
|---|
Contribution to Overall Grade
| Number | Contribution | |
|---|---|---|
| Contribution of in-term studies to overall grade | 1 | 50 |
| Contribution of final exam to overall grade | 1 | 50 |
| Toplam | 2 | 100 |
In-Term Studies
| Number | Contribution | |
|---|---|---|
| Assignments | 6 | 0 |
| Presentation | 0 | 0 |
| Midterm Examinations (including preparation) | 1 | 50 |
| Project | 0 | 0 |
| Laboratory | 0 | 0 |
| Other Applications | 0 | 0 |
| Quiz | 0 | 0 |
| Term Paper/ Project | 0 | 0 |
| Portfolio Study | 0 | 0 |
| Reports | 0 | 0 |
| Learning Diary | 0 | 0 |
| Thesis/ Project | 0 | 0 |
| Seminar | 0 | 0 |
| Other | 0 | 0 |
| Toplam | 7 | 50 |
| No | Program Learning Outcomes | Contribution | ||||
|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | ||
| 1 | Demonstrate a basic knowledge of different economic theories and main discussions driving current theoretical approaches | X | ||||
| 2 | Demonstrate ability to use basic qualitative and quantitative methods to asses different economic questions of applied fields | X | ||||
| 3 | Show a sound understanding of current economic discussions and problems | X | ||||
| 4 | Have an effective and clear communication in written and oral formats in different public and professional contexts. | X | ||||
| 5 | Demonstrate basic knowledge of the world economic history and a sound knowledge of the Turkish economic history | X | ||||
| 7 | Demonstrate knowledge of standard quantitative techniques and empirical models used in economics | X | ||||
| 8 | Show ability to apply basic economic theory to an applied topic | X | ||||
| 9 | Show a basic understanding of analytical methods, both theory- and model-based | X | ||||
| 10 | Show ability to use economic concepts to discuss current economic issues | X | ||||
| 11 | Reason logically and work analytically | X | ||||
| 12 | Show awareness on social aspects of the economics in different applied and theoretical fields | X | ||||
| 13 | Identify appropriate economic models to analyse problems | X | ||||
| 16 | Show understanding of basic statistical and econometric concepts and ability to apply basic concepts to own empirical work | X | ||||
| 17 | Demonstrate a sound knowledge of the current economic issues in Turkey and a general knowledge of the issues in the world economy | X | ||||
| Activities | Number | Period | Total Workload |
|---|---|---|---|
| Class Hours | 14 | 3 | 42 |
| Working Hours out of Class | 14 | 2 | 28 |
| Assignments | 6 | 2 | 12 |
| Midterm Examinations (including preparation) | 1 | 8 | 8 |
| Final Examinations (including preparation) | 1 | 8 | 8 |
| Total Workload | 98 | ||
| Total Workload / 25 | 3,92 | ||
| Credits ECTS | 4 | ||