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Economic Theory

Module Code: EC401B

Module Title: Economic Theory

  • ECTS Weighting: 10
  • Semester/Term Taught: Michaelmas Term
  • Contact Hours: 22 hours of lectures and 4 hours of tutorials
  • Module Personnel: Lecturer - Professor Tara Mitchell

Module Learning Aims

By the end of the course, students will be conversant with modern economic models, and will be able to apply them to analyse economic policies and changes.

Module Content

Game theory has become a powerful tool of economic analysis for situations where a small number of economic agents (firms, governments, individuals) behave interdependently (anticipate how their decisions affect others and how these others will then react). This module will analyse simple games, introduce the most standard equilibrium concepts, and focus on applications of these techniques in a variety of economic settings. We will devote attention to applications in industrial organization, political economy, auctions. Some attention will be paid to recent developments in game theory and behavioural economics.

Module Learning Outcomes

Upon successful completion, students will be able to:

  • Describe models in game theory, especially as they relate to economics
  • Use game theory models to analyse applied economic problems

Satisfactory completion of this module will contribute to the development of the following key skills:

  • Ability to apply game theoretic techniques to economic problems
  • Ability to understand game-theoretic formulations of problems
  • Ability to derive economic insights from models in game theory

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Recommended Reading List

Joseph E. Harrington, Jr., 2015, Games, Strategies and Decision Making, Worth Publishers

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Module Pre Requisite


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Assessment Details

There will be two written assignments due in Michaelmas Term, one part way through the term and one at the end of the term. These assignments will account for 30% and 20% of the overall grade for the course, respectively. There will be a term test in Week 12 of Michaelmas Term, accounting for the remaining 50% of the overall grade.

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Module Website


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