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Economics 122 - Game Theory

Game theory deals with interactive decision making, that is, with situations where two or more individuals (called players) jointly determine the outcome of the interaction and are aware that their decisions affect each other.





Mathematics 16A and 16B or 17A and 17B or 21A and 21B or consent of instructor.



This class focuses on non-cooperative situations where the players cannot make binding agreements (as is the case, for example, in interactions among competitors in an industry, because of anti-trust laws). The course covers both simultaneous games (e.g. auctions) and dynamic games (where decisions are made sequentially with possibly only partial information about the earlier moves of other players). The notion of "rational strategic interaction" is developed and applications to economics, political science and other fields are discussed.