ECB3GT7.5 ECTSQ4EnglishBachelor
Game Theory
FaculteitFaculty of Law, Economics and Governance
NiveauBachelor
Studiejaar2026-2027
Beschrijving
Course goals
Learning objectives
At the end of the course the student is able to:
At the end of the course the student is able to:
- Translate situations with conflicting interests into a game;
- Understand the concept of a Nash equilibrium;
- Identify the relevant information structure for a strategic situation;
- Analyse static and dynamic strategic situations with (in)complete information and derive predictions.
Content
Conflicting interests are a fact of everyday life in diverse settings such as families, sports clubs, firms, the European Union or trade associations. Game theory provides a rigorous method for analysing strategic interaction between individuals or organisations with conflicting interests. Because of this, over the last decades game theory has become a key element in economic theory both in microeconomics, macroeconomics, and business economics.
This course will provide students of economics and of business economics with insights into basic elements of game theory as well as some more advanced ones, and into the practical uses of game theory in negotiation and strategic decision making. Concepts such as dominance, Nash equilibrium, backward induction, commitment, credibility, asymmetric information and signalling are discussed, and applied to real-world settings. Concepts are studied using examples of situations with conflicting interests drawn from economics and business economics, and from disciplines beyond such as politics and sociology.
One aim of the course is to teach you what considerations to take into account when making strategic choices, specifically in situations of incomplete information. A second aim is to predict how other people or organisations behave when they operate in strategic settings. We will see that these two aims are closely related. For this, we will learn new concepts, methods and terminology. A third aim is to apply these tools to real-world settings.
The course will be problem-based, meaning that game theory will be taught through solving problems. While the mathematics required for this course do not go beyond calculus, the ability to think analytically and logically will be a great asset.
Academic skills
This course focuses on the following academic skills:
Analytical skills
This course will provide students of economics and of business economics with insights into basic elements of game theory as well as some more advanced ones, and into the practical uses of game theory in negotiation and strategic decision making. Concepts such as dominance, Nash equilibrium, backward induction, commitment, credibility, asymmetric information and signalling are discussed, and applied to real-world settings. Concepts are studied using examples of situations with conflicting interests drawn from economics and business economics, and from disciplines beyond such as politics and sociology.
One aim of the course is to teach you what considerations to take into account when making strategic choices, specifically in situations of incomplete information. A second aim is to predict how other people or organisations behave when they operate in strategic settings. We will see that these two aims are closely related. For this, we will learn new concepts, methods and terminology. A third aim is to apply these tools to real-world settings.
The course will be problem-based, meaning that game theory will be taught through solving problems. While the mathematics required for this course do not go beyond calculus, the ability to think analytically and logically will be a great asset.
Academic skills
This course focuses on the following academic skills:
Analytical skills
- Being able to solve problems (identifying the problem, devising a path towards the solution, follow this path, verify the outcome), independently and for complex problems.
Academic reasoning
For independent large economic and multidisciplinary problems/questions:
For independent large economic and multidisciplinary problems/questions:
- Thinking conceptually, thinking in terms of theory.
Effort requirements
Active participation in class.
Place of the course within the curriculum
The course builds upon:
• Mathematics (ECB1WIS)
• Microeconomics, Institutions and Welfare (ECB1MI)
• Intermediate Microeconomics, Games and Behaviour (ECB2VMIE)
The course is a good preparation for the following courses
• Industrial Organisation and Competition Policy (ECB3IO)
• Behavioural Economics (ECB3BE)
• Politics, Philosophy and Economics (ECB3CMEPC)
• As well as master programmes in these areas, such as Economics and Data Analysis, Economic Policy, or Multidisciplinary Economics.
Active participation in class.
Place of the course within the curriculum
The course builds upon:
• Mathematics (ECB1WIS)
• Microeconomics, Institutions and Welfare (ECB1MI)
• Intermediate Microeconomics, Games and Behaviour (ECB2VMIE)
The course is a good preparation for the following courses
• Industrial Organisation and Competition Policy (ECB3IO)
• Behavioural Economics (ECB3BE)
• Politics, Philosophy and Economics (ECB3CMEPC)
• As well as master programmes in these areas, such as Economics and Data Analysis, Economic Policy, or Multidisciplinary Economics.
In case online access is required for this course and you are not in the position to buy the access code, you are advised to contact the course coordinator for an alternative solution. Please note that access codes are not re-usable meaning that codes from second hand books do not work, as well as access codes from books with a different ISBN. Separate or spare codes are usually not available.
Reviews0 reviews
Nog geen reviews voor dit vak. Wees de eerste!
Heb jij dit vak gevolgd?
Deel je ervaring met toekomstige studenten. Inloggen met je Universiteit Utrecht mailadres duurt één minuut.
Schrijf een review