This course uses game theory to study strategic behavior in real-world situations. It develops theoretical concepts, such as incentives, strategies, threats and promises, and signaling, with application to a range of policy issues. Examples will be drawn from a wide variety of areas, such as competition, bargaining, auction design, and voting behavior. This course will also explore how people actually behave in strategic settings through a series of participatory demonstrations.
Students may receive credit for both API-303 and API-110 or API-112 only if API-303 is taken first. Students not meeting the API-101 prerequisite, but with an equivalent intermediate microeconomics background may apply to the instructor for permission to enroll.
Calculus is not required for this course. Comfort with algebra and basic probability will be assumed.