- Academic Registry
Programme & Unit Catalogues


ES30092: Game theory

[Page last updated: 02 August 2022]

Academic Year: 2022/23
Owning Department/School: Department of Economics
Credits: 6 [equivalent to 12 CATS credits]
Notional Study Hours: 120
Level: Honours (FHEQ level 6)
Period:
Semester 1
Assessment Summary: EX 100%
Assessment Detail:
  • Examination (EX 100%)
Supplementary Assessment:
Like-for-like reassessment (where allowed by programme regulations)
Requisites: Before taking this module you must take ES20011 AND take ES20012
Learning Outcomes: At the end of the unit students should:
* be able to use the concept of Nash Equilibrium in simple oligopolistic games, and voting games;
* understand the concept of subgame perfect equilibrium and apply it to a wide set of games;
* understand the logic of Bayesian games and use them to analyse real-world applications.

Aims: To provide students with:
* an intellectual framework to analyse situations in which the behaviour of agents is driven by strategic considerations;
* a set of analytical tools to interpret a wide range of phenomena in the social sciences.

Skills: Problem solving, abstraction, modelling of real-world situations, recognising strategic situations.

Content: I. Introduction: What is game theory; The theory of rational choice.
II. Games with Perfect Information:
II.1 Nash Equilibrium (pure and mixed) - theory and applications (Cournot's model of oligopoly, Bertrand's model of oligopoly, War of Attrition, auctions).
II.2 Extensive Games: strategies and outcomes; Nash equilibrium; subgame perfect equilibrium; applications (holdup game; ultimatum game; Rubinstein bargaining).
III. Games with Imperfect Information
III.1 Bayesian Games: motivating examples, concepts, and definitions.
III.2 Bayesian games - Illustrations: Cournot duopoly with cost uncertainty, procurement, Myerson-Satterthwaite Impossibility of efficient bilateral trade, monopoly regulation.

Programme availability:

ES30092 is Optional on the following programmes:

Department of Economics
  • UHES-AFB03 : BSc(Hons) Economics (Year 3)
  • UHES-AAB03 : BSc(Hons) Economics with Study year abroad (Year 4)
  • UHES-AKB03 : BSc(Hons) Economics with Year long work placement (Year 4)
  • UHES-AFB04 : BSc(Hons) Economics and Mathematics (Year 3)
  • UHES-AAB04 : BSc(Hons) Economics and Mathematics with Study year abroad (Year 4)
  • UHES-AKB04 : BSc(Hons) Economics and Mathematics with Year long work placement (Year 4)
  • UHES-ACB04 : BSc(Hons) Economics and Mathematics with Combined Placement and Study Abroad (Year 4)
  • UHES-AFB01 : BSc(Hons) Economics and Politics (Year 3)
  • UHES-AAB01 : BSc(Hons) Economics and Politics with Study year abroad (Year 4)
  • UHES-AKB01 : BSc(Hons) Economics and Politics with Year long work placement (Year 4)
  • UHES-ACB01 : BSc(Hons) Economics and Politics with Combined Placement and Study Abroad (Year 4)
  • UHES-ACB03 : BSc(Hons) Economics with Combined Placement and Study Abroad (Year 4)

Notes:

  • This unit catalogue is applicable for the 2022/23 academic year only. Students continuing their studies into 2023/24 and beyond should not assume that this unit will be available in future years in the format displayed here for 2022/23.
  • Programmes and units are subject to change in accordance with normal University procedures.
  • Availability of units will be subject to constraints such as staff availability, minimum and maximum group sizes, and timetabling factors as well as a student's ability to meet any pre-requisite rules.
  • Find out more about these and other important University terms and conditions here.