Problem Set 3
November 1, 2016
Due: 9 November 2016
1. Imagine a second grade class with 20 students in which each student has a
best friend. For any pair of students x and y, if x is y's best friend, then y
is x's best friend. Suppose that the teacher re

ECON 4109H
LECTURE 12
T HE S TABILITY OF M ARRIAGE
November 29, 2014
The Marriage Problem
Suppose that there is a set M of men and a set W of women.
For each m M there is a strict preference m over W cfw_,
where corresponds to remaining alone.
For each w

ECON 4109H
LECTURE 7
A UCTIONS
October 2, 2014
Auctions: Ascending Auctions
Common Auction Form: People sequentially submit higher
bids for an object.
When no one wishes to submit a bid higher than the current
bid, the person making the current bid wins t

ECON 4109H
LECTURE 8
E XPECTED U TILITY T HEORY
October 16, 2014
Expected Utility Theory
Finite set X = cfw_1, 2, . . . , n.
lottery = a probability distribution over X .
But what is a probability distribution?
Expected Utility Theory
lottery = a vector (