Lecture Notes
| SES # | TOPICS | LECTURE NOTES |
|---|---|---|
| 1-2 |
Refresher on preference orderings and utility representation The expected utility hypothesis Positive and normative interpretations | (PDF) |
| 3-4 |
Risk and risk attitudes Stochastic dominance Applications of expected utility in insurance and finance | (PDF) |
| 5 |
Supermodularity (supermodularity, log-supermodularity, and quasi-supermodularity) and monotone comparative statics Background risk; calibrating risk aversion Lecture 5 proofs (PDF) | (PDF) |
| 6 | Beyond expected utility | (PDF) |
| 7 | Refresher on game theory; rationalizability and iterated strict dominance multi-stage games; iterated conditional dominance in bargaining | (PDF - 3.0 MB) |
| 8 | Equilibrium refinements: sequential equilibrium, trembling-hand perfection, and stability | (PDF) |
| 9 | Signaling games | (PDF) |
| 10 | Positive theory of auctions | (PDF) |
| 11 | Global games | (PDF) |
| 12 | Repeated games with perfect monitoring | (PDF) |
| 13 |
On the power of correlation Review | (PDF) |
