Module Identifier EC30110  
Module Title OLIGOPOLY AND INTRODUCTION TO GAME THEORY  
Academic Year 2006/2007  
Co-ordinator Mr Dennis A Thomas  
Semester Semester 1  
Pre-Requisite EC30220 Third year only  
Mutually Exclusive EC36420  
Course delivery Seminars / Tutorials   5 hours  
  Lecture   10 Hours  
Assessment
Assessment TypeAssessment Length/DetailsProportion
Semester Exam1.5 Hours  100%
Supplementary Exam1.5 Hours  100%

Learning outcomes

On successful completion of this module students should be able to:
understand and apply the key economic models dealing with interactive competition amongst firms when the behaviour of rivals must be accommodated. They will also have been introduced to game theoretic concepts and methods in analysing strategic behaviour, and seen how the applications of these extend beyond the realm of oligopoly theory.

Aims

This third year module aims to equip students with the basic models and techniques required to analyse and predict the behaviour of economic agents when there is strategic interaction between the choices they make, with particular reference to oligopoly analysis.

Brief description

This module provides an introduction to central concepts of non-cooperative game theory and illustrates their application to oligopoly.

Content

Introduction
Static (simultaneous move) games
Dynamic (sequential move) games
Repeated (multiple period) games
Non-cooperative oligopoly models

Reading Lists

Books
** Essential Reading
Carmichael, F (2005) A Guide to Game Theory FT/Prentice Hall
** Recommended Text
Gibbons, R (1992) A Primer in Game Theory, Harvester Wheatsheaf
Lipczynski, J, Wilson, J and Goddard, J (2005, 2e) Industrial Organization: Competition, Strategy, Policy, FT/Prentice Hall
** Supplementary Text
Axelrod, R (1984) The Evolution of Co-operation, Basic Books
Dixit, A K and Nalebuff, B (1991) Thinking Strategically, Norton
Eaton, B C, Eaton, D F and Allen, D W (1999) Microeconomics, Prentice Hall, Ch.15
Katz, M L and Rosen, H S (3e, 1998) Microeconomics, McGraw Hill, Chs 14, 15 and 16
McMillan, J (1992) Games, Strategies and Managers, Oxford University Press
Nasar, S (2001) A Beautiful Mind, (Biography of John Nash), Faber and Faber
Nicholson, W (1998) Microeconomic Theory, Dryden, Chs 10, 19 and 20
Rasmusen, E (2001) Readings in Games and Information, Blackwell
Shelling, T C (1980) The Strategy of Conflict, Harvard University Press

Notes

This module is at CQFW Level 6