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DRPS : Course Catalogue : School of Economics : Economics

Undergraduate Course: Game Theory (ECNM10111)

Course Outline
SchoolSchool of Economics CollegeCollege of Arts, Humanities and Social Sciences
Credit level (Normal year taken)SCQF Level 10 (Year 3 Undergraduate) AvailabilityAvailable to all students
SCQF Credits20 ECTS Credits10
SummaryThis course provides a rigorous introduction to game theory, which is the formal analysis of strategic reasoning and interaction. Emphasizing essential analytical tools and economic applications, it encourages abstract strategic thinking and critical evaluation of game theoretic concepts.
Course description This course provides a rigorous introduction to game theory, the formal analysis of strategic interaction. Game theory now pervades most non-elementary models in microeconomic theory and many models in the other branches of economics and in other social sciences. We introduce the necessary analytical tools to be able to understand these models, and illustrate them with some economic applications. We
also aim to develop an abstract analysis of strategic thinking, and a critical and openminded attitude toward the standard game theoretic concepts as well as new concepts.

Most of the course's content relies on mathematical and formal reasoning. At a bare minimum, students should be familiar with mathematical notation about sets and functions, with elementary linear and calculus, and with basic proof techniques (e.g. mathematical induction). A basic understanding of more advanced topics in linear algebra, calculus, and topology in Euclidean spaces will be useful.
Entry Requirements (not applicable to Visiting Students)
Pre-requisites Students MUST have passed: Economics 2 (ECNM08006)
Students MUST have passed: Statistical Methods for Economics (ECNM08016) OR ( Probability (MATH08066) AND Statistics (Year 2) (MATH08051)) OR Data Analysis for Psychology in R 2 (PSYL08015)
Prohibited Combinations Other requirements None
Information for Visiting Students
Pre-requisitesVisiting students must have an equivalent of at least 4 semester-long Economics courses at grade B or above for entry to this course. This MUST INCLUDE courses in Intermediate Macroeconomics (with calculus); Intermediate Microeconomics (with calculus); Probability and Statistics; and Introductory Econometrics. If macroeconomics and microeconomics courses are not calculus-based, then, in addition, Calculus (or Mathematics for Economics) is required.
High Demand Course? Yes
Course Delivery Information
Academic year 2023/24, Available to all students (SV1) Quota:  120
Course Start Semester 1
Timetable Timetable
Learning and Teaching activities (Further Info) Total Hours: 200 ( Lecture Hours 20, Seminar/Tutorial Hours 6, Programme Level Learning and Teaching Hours 4, Directed Learning and Independent Learning Hours 170 )
Assessment (Further Info) Written Exam 50 %, Coursework 50 %, Practical Exam 0 %
Additional Information (Assessment) Mid-course exam - 50%
Degree exam - 50%
Feedback Not entered
Exam Information
Exam Diet Paper Name Hours & Minutes
Main Exam Diet S1 (December)3:00
Learning Outcomes
On completion of this course, the student will be able to:
  1. Demonstrate a broad knowledge and understanding of key principles of game theory, static games, sequential games, strategic reasoning and its application to economic problems.
  2. Demonstrate research and investigative skills such as problem framing and solving and the ability to assemble and evaluate complex arguments using the formal language of game theory.
  3. Demonstrate communication skills in order to critique, create and communicate understanding.
  4. Demonstrate personal effectiveness through task-management, time management, dealing with uncertainty and adapting to new situations, personal and intellectual autonomy through independent learning.
  5. Demonstrate practical/technical skills such as, modelling skills (abstraction, logic, succinctness, formal reasoning) and qualitative analysis.
Reading List
Main Textbook:

Battigalli, Catonini, and De Vito (2023): "Game Theory: Analysis of Strategic Thinking,"

Background reading:

Battigalli (2020): "Mathematical Language and Game Theory"

Rubinstein (2012): "Economic Fables"

Additional Basic Resources:

Gibbons (1992): "Game Theory for Applied Economists."

Osborne (2003): "An Introduction to Game Theory."

Tadelis (2013): "Game Theory: An Introduction."

Simon and Blume (1994): "Mathematics for Economists."

Additional Advanced Resources:

Osborne and Rubinstein (1994): "A Course in Game Theory."

Mas-Colell, Andreu, Michael Whinston, and Jerry Green (1995):
"Microeconomic Theory."

Ok (2007): "Real Analysis with Economic Applications."
Additional Information
Graduate Attributes and Skills Not entered
Keywordsgame theory
Course organiserMr Gabriel Ziegler
Course secretaryMr Sean Barr
Tel: (0131 6)50 6661
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