MIT OpenCourseWare
  • OCW home
  • Course List
  • about OCW
  • Help
  • Feedback
  • Support MIT OCW

Calendar

SEC # TOPICS
1 Introduction to Game Theory [1 lecture]
2

Payoffs in Games: Rational Choice Under Uncertainty [1 lecture]

  • Expected Utility theory; risk aversion. Kreps, Chapters 3.1-3.3
  • Applications; risk sharing, insurance, option value
3

A More Formal Introduction to Games [3 lectures]

  • Extensive forms and normal forms. Gibbons, Chapters 1.1A and 2.1A
  • Strategies, dominant strategies and iterative elimination of  strictly dominated strategies. Gibbons 1.1B
  • Nash Equilibrium. Gibbons 1.1C
  • Applications of Nash Equilibrium. Gibbons 1.2
4

Backward Induction, Subgame Perfection, and Forward Induction [3 lectures]

  • Analysis of extensive-form games. Gibbons 2.1A
  • Backward induction
  • Subgame perfection. Gibbons 2.2A
  • Applications. Gibbons 2.2B, C, D and 2.1B, C
  • Bargaining and negotiations. Gibbons 2.1D
  • Forward induction
  • Applications
5 The First Midterm
6 Repeated Games and Cooperation [2 lectures]. Gibbons 2.3
7

Incomplete Information [2 lectures]

  • Bayesian Nash Equilibrium. Gibbons 3.1A, C
  • Auctions
  • Applications. Gibbons 3.2
8

Dynamic Games of Incomplete Information [2 lectures]

  • Perfect Bayesian Equilibrium. Gibbons 4.1
  • Sequential bargaining under asymmetric information. Gibbons 4.3B
9 The Second Midterm
10 Reputation [1 lecture]. Gibbons 4.3C
11

Problems of Asymmetric Information in Economics [3 lectures]

  • Signaling and the Intuitive Criterion. Gibbons 4.2A and 4.4
  • Applications of signaling. Gibbons 4.2B, C
  • The principal-agent problem. Kreps, Chapter 17
  • Applications; lemons, efficiency wages, credit-rationing, price-discrimination
12 Final Exam
13 Evolutionary foundations of equilibrium; evolutionarily stable strategies and replicator dynamics [2 lectures]