Goals:

We study interactive decisions with asymmetric information. Special attention will be focused on situations that emerge in the fields of industrial organization and public economics.

Specific skills of the course:

1) To be able to apply acquired knowledge to the resolution of analytical exercises.

2) Capacity for analysis and synthesis.

3) Development of writing communication skills.

Topics:

Topic 0. Preliminaries.

Topic 1. Bayesian games. Cournot duopoly with imperfect information.

Topic 2. Extensive games with imperfect information. Signaling games.

Topic 3. Expected Utility and risk aversion.

Topic 4. The economics of information.

The course is best suited to a lecture format, although there will also be practical sessions and seminars. In the practical sessions the lecturer will solve numerical exercises related to the subject. In the seminars, students will be asked both to solve questions and numerical exercises.

In the event that the circumstances do not allow face-to-face teaching, face-to-face teaching will be replaced by online teaching using the eGela platform.

Evaluation system:



- A final exam, FE, (the date is already published) in which students will solve problems and theoretical questions. The work done by students during the course will be evaluated in two exams: E1, (topics 0,1 y 2) and E2 (topics 3 and 4).

- The final score will be given by the application of the following formula:

max {scoreFE, (0.7·(scoreFE) + 0.2·(scoreE1) + 0.1.(scoreE2)}.



If the health situation does not allow in-person exams, they will be replaced by online exams using the eGela platform.

- Serrano R. y Feldman A. (2013): A Short Course in Intermediate Microeconomics with Calculus, 1ª edition.
- Osborne, M. J., (2004): An Introduction to Game Theory, Oxford University Press; New York, USA.

Basic bibliography

- Nicholson, W. (2006): Microeconomic Theory: Basic Principles and Extensions. Thomson, 8ª edición.

In-depth bibliography

Additional text books:
- Jehle, Geoffrey A., and Philip J. Reny (2001). Advanced Microeconomic Theory, 2nd edition. Amsterdam: Addison-Wesley.
- Gibbons, R.: Un primer curso de Teoría de Juegos. Antoni Bosch, 1992
- Macho, I. y D. Pérez-Castrillo: Introducción a la Economía de la Información. Ariel Economía, 1994.