390028 DK PhD-M: Microeconomics for PhD-Management (2011S)

Main Text & Material covered:
-- The main text we will use is Andreu Mas-Colell/Michael D. Whinston/Jerrry R. Green: Microeconomic Theory, Oxford University Press (henceforth called MWG).
-- Another book that you might want to consult is: Christopher Snyder/Walter Nicholson: Microeconomic Theory: Basic Principles and Extensions, Thomson, Tenth Edition.
-- For those of you who have never heard of Game Theory, I also recommend the following introductory text books:
. Robert Gibbons: A Primer in Game Theory, Harvester Wheatsheaf.
. Martin Osborne: An Introduction to Game Theory, Oxford University Press.

-- The first part of this course gives an introduction to single-person decision making both under certainty and under uncertainty. In this part we will cover topics such as the Expected Utility Theorem, risk aversion and its measurement, and stochastic dominance.
The second part introduces the fundamentals of multi-person decision making (game theory). We discuss four classes of games: games in normalform, Bayesian games, sequential games with perfect information, and sequential games with imperfect and incomplete information. The central solution concept we discuss is the Nash equilibrium
and its refinements (including subgame perfectness, trembling-hand perfectness, (perfect)
Bayesian equilibrium, and sequential equilibrium).
-- Relevant sections and chapters (and absolute must-reads) in MWG:
. Choices, Preferences, and Utility: MWG, Chapter 1 and Sections A to C of Chapter 3
. Expected Utility Theory: MWG, Sections A to D of Chapter 6
. Game Theory: MWG, Chapters 7 - 9