# AØKA08076U  Game Theory (F)

Volume 2017/2018
Education

MSc programme in Economics – elective course

The course is part of the MSc programme in Economics, Financial line,  symbolized by ‘F’.

Content

This is a mathematically oriented course of game theory.

The course covers the standard parts of game theory, focusing mainly on non-cooperative games. The course starts with the expected utility theorem. For non-cooperative games, the teaching covers the most important solution concepts for strategic and extensive form games. The Aumann model of knowledge is presented. Also, the theory of games under uncertainty is discussed, leading to the extension of the solution concepts previously encountered. Furthermore, we study specific classes of games (e.g. supermodular games and global games) that are often used in economic theory. Finally, we illustrate a more axiomatic approach by discussing the basics of social choice theory.

We will formally show under which assumptions the covered solution concepts exist and derive certain properties. We will then illustrate and apply the solution concepts in examples and exercises. A detailed lecture schedule will be published online at the start of the term.

Learning Outcome

The course aims at giving the students the abilities and competences needed to understand and assess the fundamental aspects of strategic decision making by rational individuals where the framework for decision making specifies the actions open to the individuals as well as their objectives and the information available. The methodological goal of the course is to get students more accustomed to formal notation, proofs and logical reasoning.

After completing the course, the student should be able to:

Knowledge:

• of all the covered concepts including formal definitions
• Determine which of the covered concepts is relevant in a given strategic situation (e.g. a fully specified game).

Skill:

• Apply the appropriate (solution) concept in this situation.
• Explain the concepts covered in the course using appropriate definitions, motivations and examples.

Competence:

• Point out strengths and weaknesses of the concepts
• Relate and connect different concepts.

Main textbooks:

• Martin J. Osborne and Ariel Rubinstein: “A Course in Game Theory”, MIT Press, 1994 (note that an electronic version of the book is available for free from the websites of the authors);
• M. Maschler, E. Solan and S. Zamir: “Game Theory”, Cambridge University Press, 2013 (note that the library provides an electronic version of this book)

A list of academic papers will be published later on online.

Active knowledge of the material covered in Micro III is necessary so it is strongly recommended that Micro III has been followed prior to taking Game Theory.
Schedule:
2 hours lectures 1 to 2 times a week from week 36 to 50 (except week 42).

The overall schema for the Master can be seen at https:/​/​intranet.ku.dk/​economics_ma/​courses/​CourseCatalogue-E17/​Courseschema/​Pages/​default.aspx

Timetable and venue:
To see the time and location of lectures please press the link under "Se skema" (See schedule) at the right side of this page. E means Autumn.

You can find the similar information partly in English at
https:/​​/​​skema.ku.dk/​​ku1718/​​uk/​​module.htm
-Select Department: “2200-Økonomisk Institut” (and wait for respond)
-Select Module:: “2200-E17; [Name of course]””
-Select Report Type: “List – Weekdays”
-Select Period: “Efterår/Autumn – Weeks 31-5”
Press: “ View Timetable”
Credit
7,5 ECTS
Type of assessment
Oral examination, 20 minuts under invigilation
with 20 minuts preparation. The oral exam must be performed in English.
Exam registration requirements

A one week take-home assignment (that can be done in groups) must be passed in order to be admitted to the final exam.

Aid
Without aids

in the preparation and at the oral exam

Marking scale
Censorship form
External censorship
if chosen by the Head of Studies.
Exam period

Week 4, January 2018

Exact date, time and place will be informed in the KUNet or by the Examination Office.

For enrolled students more information about examination, rules, exam schedule etc. is available at the intranet for master students (UK) and master students (DK).

Re-exam

Week 6 to 8, February 2018

Exact date, time and place will be informed in the KUNet or by the Examination Office.

More information about reexamination, rules, schedule etc. is available at the intranet for master students (UK) and master students (DK).

##### Criteria for exam assesment

Students are assessed on the extent to which they master the learning outcome for the course.

To receive the top grade, the student must be able to demonstrate in an excellent manner that he or she has acquired and can make use of the knowledge, skills and competencies listed in the learning outcomes.

• Category
• Hours
• Lectures
• 42
• Preparation
• 163,3
• Exam
• 0,7
• Total
• 206,0