Lecture XI: Subgame Perfect Equilibrium
Markus M. Mbius o April 3, 2004
Gibbons, chapter 2.1.A,2.1.B,2.2.A Osborne, sections 5.4, 5.5
1
Introduction
Last time we discussed extensive form representation and showed that there are typically lots of Nash equ
Lecture X: Extensive Form Games
Markus M. Mbius o March 17, 2004
Gibbons, chapter 2 Osborne, sections 5.1, 5.2 and chapter 6
1
Introduction
While models presented so far are fairly general in some ways it should be noted that they have one main limitatio
Lecture IX: Evolution
Markus M. Mbius o March 10, 2004
Learning and evolution are the second set of topics which are not discussed in the two main texts. I tried to make the lecture notes self-contained. Fudenberg and Levine (1998), The Theory of Learning
Lecture VIII: Learning
Markus M. Mbius o March 10, 2004
Learning and evolution are the second set of topics which are not discussed in the two main texts. I tried to make the lecture notes self-contained. Fudenberg and Levine (1998), The Theory of Learnin
Lecture VII: Common Knowledge
Markus M. Mbius o March 4, 2004
This is the one of the two advanced topics (the other is learning) which is not discussed in the two main texts. I tried to make the lecture notes self-contained. Osborne and Rubinstein, sectio
Lecture VI: Existence of Nash equilibrium
Markus M. Mbius o February 26, 2004
Gibbons, sections 1.3B Osborne, chapter 4
1
Nash's Existence Theorem
When we introduced the notion of Nash equilibrium the idea was to come up with a solution concept which is
Lecture V: Mixed Strategies
Markus M. Mbius o February 24, 2004
Gibbons, sections 1.3-1.3.A Osborne, chapter 4
1
The Advantage of Mixed Strategies
Consider the following Rock-Paper-Scissors game: Note that RPS is a zerosum game.
R P S
R
0,0
-1,1
1,-1
P
1
Lecture IV: Nash Equilibrium II - Multiple Equilibria
Markus M. Mbius o March 3, 2003
Readings for this class: Osborne and Rubinstein, Chapter 2.12.3
1
Multiple Equilibria I - Coordination
Lots of games have multiple Nash equilibria. In this case the prob
Lecture III: Normal Form Games, Rationality and Iterated Deletion of Dominated Strategies
Markus M. Mbius o February 19, 2004
Readings: Gibbons, sections 1.1.A and 1.1.B Osborne, sections 2.1-2.5 and section 2.9
1
Definition of Normal Form Game
Game theor
Lecture I-II: Motivation and Decision Theory
Markus M. Mbius o February 4, 2003
1
Motivating Experiment: Guess the average
Setup: Each of you (the students in this course) have to declare an integer between 0 and 100 to guess "2/3 of the average of all th
Ec1052: Introduction to Game Theory Harvard University
Handout 7 19 March 2004
Cheat Sheet for Midterm
This handout summarizes what you have to know for the midterm in Econ 1052. Lecture I-II: Decision Theory axioms of decision theory lotteries proof of e