After completing the course Markets and Strategy the student is able to:
- Analyse strategic decisions of economic agents using tools of game theory;
- Reflect on strategic interactions from behavioral perspective;
- Describe and explain the imperfectly competitive markets and firm strategies using game-theoretic models;
- Describe and explain current competition policy issues and regulation of imperfectly competitive markets.
This course is about strategic decisions of economic decision-makers, including consumers, firms and organisations. Students will learn game-theoretic tools to analyse strategic interactions. The focus is not on mathematical complexity of the models, but on the added value of these tools for understanding strategic behaviour. Intuition and motivation for the solution concepts, or discussion of their weaknesses in terms of behavioural validity, will be aided by the use of economic experiments. Students will participate in class experiments, and use their experience to reflect on the topics. We will apply game theory to extend the understanding of imperfectly competitive markets and incentives in organisations. After passing this course, there will be "games everywhere", and students will be able to recognise and solve them.
|This course is relatively self-contained. It requires some basic knowledge of microeconomics (perfectly competitive markets) and basic skills in mathematics, up to the extent of being able to differentiate functions.|
Written exam (88 points, administered digitally via SOWISO ) + Take-home exam (12 points, administered digitally via SOWISO) -- Partial results from past years are not valid.