Economics of Strategic Behaviour (EC0031)

? Credit Points : 40 ? SCQF Level : 10 ? Acronym : MSE-4-ESB

This course is about economic decisions that involve conflict and interdependency in an essential way. Situations in which what one person, or firm, or government does affects the opportunities, profits, and welfare of others, and vice versa, are ubiquitous in the real world e.g., bidding for a house, negotiating a wage rise, introducing a new product, setting macroeconomic targets. New insights have been gained into these problems by the application of game theory. This can be defined as the study of models of conflict, and cooperation, between rational decision-makers who know what they want and do their best to get it.

Entry Requirements

? Pre-requisites : Topics in Economic Analysis 1

? Prohibited combinations : Economics of Strategic Behaviour 1 (U00269)

Subject Areas

Home subject area

Economics, (Management School and Economics, Schedule H)

Delivery Information

? Normal year taken : 4th year

? Delivery Period : Full Year (Blocks 1-4)

? Contact Teaching Time : 2 hour(s) per week for 20 weeks

First Class Information

Date	Start	End	Room	Area	Additional Information
18/09/2007	09:00	10:50	Room G.09, William Robertson Building	Central

All of the following classes

Type	Day	Start	End	Area
Lecture	Tuesday	09:00	10:50	Central

Summary of Intended Learning Outcomes

Having taken the course students will be able to understand: the main solution concepts in modern game theory; the importance of information in strategic situations; the importance of timing, commitment and credibility; why cooperation and collusion might (or might not) occur in situations involving conflict and interdependency; the role of dynamic games of complete and incomplete information; problems with game theory; evolutionary game theory; learning models.