# STATISTICS 473/ECONOMICS 473

Game Theory

## Fall 2014

Instructor: David Marker

Class Meets: TR 11:00-12:15 Taft Hall 216

Office: 404 SEO

Office Hours:

phone: (312) 996-3069

e-mail: marker@math.uic.edu

course webpage: http://www.math.uic.edu/~marker/stat473-F14

This webpage will be the primary source for problem sets and course handouts.
There will also be a course site on UIC Blackboard where I will post solutions
to homework and grade information.
### Text

- Prajit Dutta,
* Strategies and Games*, MIT Press, Cambridge, 1999.

Another useful book is Steven Tadelis, * Game Theory: An Introduction*, Princeton University Press, New York, Oxford, 2013.
### Prerequisites

The formal mathematical prerequisites are minimal, but the
course will be fairly rigorous and will require the ability to follow closely reasoned
arguments and solve problems.
Students should have some familiarity with
- basic probability--expectation, Bayes rule
- basic calculus--particularly using calculus to find maximums and minimums

If you are unsure if you have necessary background, please consult with the instructor.
### Description

Game Theory is the study of mathematical models of strategic decision making
with interacting decision makers.
This course will introduce the main concepts and tools of the subjects. The course will focus more on
concepts and illustrative examples than mathematical theory
The topics covered will include:
- Strategic games, mixed strategies, Nash equilibrium, minimax strategies in zero sum games;
- Extensive games of perfect information;
- Bayesian games;
- Extensive games of imperfect information;
- If time permits, additional topics will be chosen based on the interests of the class. Possible additional topics include
evolutionary games, repeated games, cooperative games and bargaining.

For more details consult the week-by-week syllabus
### Practice Problems and Problem Sets

- For each chapter of the text I will assign a number of "Practice Problems".
These problems will not be collected or graded. Solutions to these problems can be found on-line in the Student Solution Manual
- There will be frequent problem sets that will be collected and graded. The two lowest grades will be dropped. Late homework will be accepted only in exceptional circumstances.
For full credit problem sets must be written carefully and clearly.
- You may discuss homework problems with other students, but you must write up your solution independently.

### Grading

There will be two midterm exams and a final. The final grade will be based 20% on the problem sets, each midterm exam will count
25% and the final will count 30%.

Midterm 1:

Midterm 2: 7

Final Exam:
### Problem Sets

Solutions to Problem Sets are posted on the course **Blackboard** webpage.

optional project
### Handouts and Useful Links

David Marker's homepage

Last Revised: 11/4/15