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Microeconomics 2 (ECO-CO-MICRO2)

ECO-CO-MICRO2


Department ECO
Course category ECO Compulsory courses
Course type Course
Academic year 2024-2025
Term BLOCK 2
Credits 1 (EUI Economics Department)
Professors
Contact Simonsen, Sarah
Sessions

13/11/2024 8:45-10:45 @ Conference Room, Villa la Fonte

14/11/2024 8:45-10:45 @ Conference Room, Villa la Fonte

19/11/2024 8:45-10:45 @ Conference Room, Villa la Fonte

20/11/2024 8:45-10:45 @ Seminar Room 3rd Floor,V. la Fonte

22/11/2024 11:00-13:00 @ Seminar Room 3rd Floor,V. la Fonte

26/11/2024 8:45-10:45 @ Conference Room, Villa la Fonte

27/11/2024 8:45-10:45 @ Conference Room, Villa la Fonte

29/11/2024 11:00-13:00 @ Conference Room, Villa la Fonte

03/12/2024 8:45-10:45 @ Conference Room, Villa la Fonte

04/12/2024 8:45-10:45 @ Conference Room, Villa la Fonte

06/12/2024 11:00-13:00 @ Conference Room, Villa la Fonte

09/12/2024 11:00-13:00 @ Conference Room, Villa la Fonte

10/12/2024 14:00-16:00 @ Conference Room, Villa la Fonte

11/12/2024 8:45-10:45 @ Conference Room, Villa la Fonte

07/01/2025 11:00-13:00 @ Conference Room, Villa la Fonte

10/01/2025 14:00-16:00 @ Outside EUI premises

Description

Purpose: This course aims to develop your understanding of fundamental concepts and frameworks of game theory starting from static games and ending with reputation. The course aims to equip you with the foundations of game theory and interpretation of main concepts, which are essential tools to study a rich set of environments involving strategic interactions among various agents. The course aims to teach you how to set up problems in these complex environments as games and characterize equilibria of these games to develop reasonable predictions as equilibrium outcomes in such environments. For instance, to study R&D, market entry, quality, and pricing decisions of competing firms, to develop optimal investment strategies facing uncertainty, to study supply contract bargaining between suppliers and retailers, and more.

Prerequisites. You are expected to be familiar with the material covered in an intermediate microeconomics course (Mas-Colell, Whinston and Green (1995), and Varian, Intermediate Microeconomics (1999)).


Description: This is a graduate level game theory course that covers topics of Static Games, Dynamic Games of Perfect Information, Repeated Games, Bayesian Games, Dynamic Bayesian Games, and Reputation. This is a 20-hours course. There will be five problem sets and six TA sessions covering solutions and one TA session in the revision week to review the course material. The solutions to the problem sets will be uploaded on the Brightspace course page after the respective TA session that provides the solutions. Some (1-2) questions of each problem set will be graded at random[VA1] [BO2] , and your problem set grade will determine 15% of your course grade. If you do not submit any assignment for a problem set, you automatically have zero for this assignment. There will be one final exam and your final exam grade will determine 85% of your course grade. Slides of each lecture and the problem set covering the topics of that lecture will be uploaded on the course page one day before the lecture. Lecture notes to read will be uploaded on the course page at least one week before the corresponding lecture. They should ideally be read both before and after each lecture, at least once after the lecture. Readings from the books are encouraged for more detailed and concise understanding of slides and lecture notes.

Teaching material: The readings of texts for this course come from lecture notes (Lec) and books ofOther useful books are Game Theory for Applied Economists by Gibbons, A Course in Game Theory by Osborne and Rubinstein.

Professor Office Hours: Please get in touch by email if you have any questions.
TA Sessions: TA Office Hours
19.11.2024, 21.11.2024
26.11.2024, 28.11.2024
03.12.2024, 05.12.2024
10.12.2024, 12.12.2024
17.12.2024, 18.12.2024
08.01.2025, 09.01.2025
14.01.2024, (Review session) 



Lectures and topics covered:

Week 1:
  • Nov 13th, 2024, 08:45-10:45
    • Static Games of Complete Information, Lec1, M 1.1, 1.2, 2.4.1, 2.4.2, MWG 7, 8.A-8.C, FT 1.1,2.1
    • Nash Equilibrium, Lec2, M 2.1, 2.4.3, 4.1, 2.5, MWG 8.D-8.appx, FT 1.2,1.3
  • Nov 15th, 2024, 11:00-13:00: Static Oligopoly Games, Lec3, MWG12.C

Week 2:
  • Nov 20th, 2024, 08:45-10:45: Dynamic Games of Perfect Information, Lec4, M 1.3, 2.2, 2.4.4, 5.1, MWG 9.A, 9.B, FT 3.1-3.6
  • Nov 22nd, 2024, 11:00-13:00: Subgame Perfection, Lec5, M 2.3, FT 4.1, 4.2

Week 3:
  • Nov 27th, 2024, 08:45-10:45: Repeated Games, Lec6, M 7.1.1, 7.1.2, 7.1.3, 7.4, MWG 12D, FT 4.3, 5.1-5.3.1
  • Nov 29th, 2024, 11:00-13:00: Markov Perfect Equilibrium, Lec7, M 8.1, FT 13.1, 13.2

Week 4:
  • Dec 4th, 2024, 08:45-10:45: Bayesian Games, Lec8, M 3.4, MWG 8.E, FT 6.1-6.5
  • Dec 6th, 2024, 11:00-13:00: Dynamic Bayesian Games and Introduction to Signaling, Lec12, M 5.1, 5.2, 5.3, 6.1, MWG 7.C, FT 8.2.1

Week 5:
  • Dec 11th, 2024, 08:45-10:45: Intro to Repeated Games with Imperfect Monitoring, Lec9, FT 5.5
  • Dec 13th, 2024, 11:00-13:00: Incomplete Information and Reputation, Lec13, M 8.3, FT 9.2.1, 9.2.2
 
are we going back to the policy whereby we only grade 1/2 questions at random, or do we rather say which one will be grade in advance? [VA1]
We will grade 1/2 questions at random [BO2]

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Page last updated on 05 September 2023