Part A: Consumer and Producer Theory
Part B: Game Theory
Module Code: EC7001
- ECTS Credit: 10
- Mandatory/Optional: Mandatory
- Module Coordinator: Prof Tara Mitchell
Aims of Module
a) The first half of this module (weeks 1 -5) introduces students to the theory of consumption and production at an advanced level. It also introduces expected utility analysis, this being the standard approach to choice in the face of risk. b)The second half of this module ( weeks 6, 8-10) aims to provide students with a sound knowledge of the basic tools in non-cooperative game theory.
The module will be delivered through a combination of lectures (18 hours) and tutorials (9 hours). Problems are circulated and brought to class for analysis and submission.
On completion of the course, students should be able to understand the theory of consumer choice and demand, producer theory and expected utility theory. Students should also be capable of applying the most standard equilibrium concepts to simple non-cooperative games and to master the structure of the main concepts in game theory.
Topics covered in this module include;
Part A- Consumption, Production and Expected Utility
- Consumer choice and demand theory
- Production theory
- Risk and Uncertainty
Part B - Game Theory
- Strategic Form Games: Nash Equilibrium
- Bayesian Form Games: Bayesian Nash Rquilibrium
- Extensive Form Games: Subgame Perfect Equilibrium, Sequential Equilibrium
Assessment for the course is based on weekly problem sheets and one 3 hour examination.