Often, it is hard to make the ‘right’ decision. Especially in situations where you must deal with others who have different goals and where the outcome of your choice is dependent on the choices the others make. Or in situations where fairness is not straightforward. In all these situations you might want to rely on a solid foundation that can help you with your decisions and allocations and back up your choice.

Game theory is such a solid and mathematical foundation. It provides a strong framework of mathematical models and tools to analyse and solve these interactive decision-making processes. Game theory is a mathematical theory and as such is not relying on a specific context. Therefore, it can be applied in all interactive situations where decisions and allocations must be made. The aim of this course is therefore twofold: on the one hand, the focus is on the mathematical theory. We take a mathematical approach and study all the game theoretic concepts as part of the field of Mathematics. On the other hand, we cover several applications in terms of real-life situations.

The course is divided into two parts: cooperative and non-cooperative game theory, the two main pillars of game theory. In the first part, the focus is on non-cooperative or strategic games. Among others, the following topics will be discussed:

• Strategic games: matrix (zero-sum) games and bimatrix games.
• Nash equilibria: pure and mixed Nash equilibria, best-reply strategies and optimal strategies;
• Applications: evolutionary games and evolutionary stable equilibria, auctions.

In the second part of the course, the focus is on cooperative games. Among others, the following topics will be discussed:

• Cooperative games: transferable utility games.
• Solution concepts: core, Shapley value, nucleolus, egalitarian solution.
• Applications: voting games.

Coordinator

Maurice Koster

Timetable

All lectures will take place on-campus and we assume you can be physically present during the scheduled hours. You can find the timetable on Datanose.

Registration

Registration is possible for students participating in an Honours programme. The registration period for the Honours courses will be from November 29, 10:00 am to December 3, 11.59 pm. You can register through the online registration form that will appear on Honoursmodules IIS. (registration is NOT through SIS)

Please note: Placement is not guaranteed if you register after December 3, so make sure you register on time. You will hear which course(s) you are registered for before December 15. 

For questions about registration, please contact us at: Honours-iis@uva.nl