Strategy An Introduction to Game Theory

ISBN-10: 0393976483
ISBN-13: 9780393976489
Edition: 2002
Authors: Joel Watson
List price: $71.00
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Description: In this innovative textbook, Joel Watson adopts a refreshing new format for teaching game theory to advanced undergraduates. The book is rigorous and mathematically precise, but also extremely careful in its focus on using the simplest possible  More...

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Book details

List price: $71.00
Copyright year: 2002
Publisher: W. W. Norton & Company, Incorporated
Binding: Hardcover
Pages: 300
Size: 7.25" wide x 9.25" long x 1.25" tall
Weight: 1.782
Language: English

In this innovative textbook, Joel Watson adopts a refreshing new format for teaching game theory to advanced undergraduates. The book is rigorous and mathematically precise, but also extremely careful in its focus on using the simplest possible models and least complicated mathematics necessary. Strategy also incorporates elements of contemporary contract theory into the exposition, in a format that is highly engaging for students and easily adapted to the standard coverage familiar to teachers.

Preface
Introduction
Noncooperative Game Theory
Contract and Cooperative Game Theory
The Meaning of "Game"
Representing Games
The Extensive Form
Other Examples and Conventions
Exercises
Strategies
Exercises
The Normal Form
Classic Normal-Form Games
Interpretation of the Normal Form
Exercises
Beliefs, Mixed Strategies, and Expected Utility
Exercises
Analyzing Behavior in Static Settings
Dominance and Best Response
Dominance
The First Strategic Tension and the Prisoners' Dilemma
The Concept of Efficiency
Best Response
Dominance and Best Response Compared
Exercises
Rationalizability and Iterated Dominance
The Second Strategic Tension
Exercises
Location and Partnership
A Location Game
A Partnership Game: Strategic Complementarities
Exercises
Congruous Strategies and Nash Equilibrium
Congruous Sets
Nash Equilibrium
Equilibrium of the Partnership Game
Coordination and Social Welfare
The Third Strategic Tension
Aside: Behavioral Game Theory
Exercises
Oligopoly, Tariffs, and Crime and Punishment
Cournot Duopoly Model
Bertrand Duopoly Model
Tariff Setting by Two Countries
A Model of Crime and Police
Exercises
Mixed-Strategy Nash Equilibrium
Exercises
Strictly Competitive Games and Security Strategies
Exercises
Contract, Law, and Enforcement in Static Settings
Complete Contracting in Discretionary Environments
Contracting with Court-Imposed Breach Remedies
Exercises
Analyzing Behavior in Dynamic Settings
Details of the Extensive Form
Exercises
Backward Induction and Subgame Perfection
Sequential Rationality and Backward Induction
Subgame Perfection
Exercises
Topics in Industrial Organization
Advertising and Competition
A Model of Limit Capacity
Dynamic Monopoly
Price Guarantees as a Commitment to High Prices
Exercises
Parlor Games
Exercises
Bargaining Problems
Bargaining: Value Creation and Division
An Abstract Representation of Bargaining Problems
An Example
The Standard Bargaining Solution
Exercises
Analysis of Simple Bargaining Games
Ultimatum Games: Power to the Proposer
Two-Period, Alternating-Offer Games: Power to the Patient
Infinite-Period, Alternating-Offer Game
Exercises
Games with Joint Decisions; Negotiation Equilibrium
Joint Decisions
Negotiation Equilibrium
Example: Contracting for High-Powered Incentives
Exercises
Investment, Hold Up, and Ownership
Hold Up Example
Asset Ownership
Exercises
Repeated Games and Reputation
A Two-Period Repeated Game
An Infinitely Repeated Game
The Equilibrium Payoff Set with Low Discounting
Exercises
Collusion, Trade Agreements, and Goodwill
Dynamic Oligopoly and Collusion
Enforcing International Trade Agreements
Goodwill and Trading a Reputation
Exercises
Information
Random Events and Incomplete Information
Exercises
Risk and Incentives in Contracting
Risk Aversion
A Principal-Agent Game
Exercises
Bayesian Nash Equilibrium and Rationalizability
Exercises
Trade with Incomplete Information
Markets and Lemons
Auctions
Exercises
Perfect Bayesian Equilibrium
Conditional Beliefs about Types
Sequential Rationality
Consistency of Beliefs
Equilibrium Definition
Exercises
Job-Market Signaling and Reputation
Jobs and School
Reputation and Incomplete Information
Exercises
Appendices
Review of Mathematics
Sets
Functions and Calculus
Probability
The Mathematics of Rationalizability
Dominance, Best Response, and Correlated Conjectures
Rationalizability Construction
Exercises
Index

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