Description:
A textbook for an upper-division undergraduate course in game theory within an economics curriculum; it can also serve as a core or auxiliary text for graduate courses with a significant component of game theory for students in related fields. The goal is to provide the essential concepts and mathematics without needless complication.
Biography
Joel Watson is associate professor of economics at the University of California, San Diego. He received his B.A. from University of California, San Diego, and his Ph.D. from Stanford University. One of the top game theorists of his generation, Watson's work has been published in a variety of leading journals, including American Economic Review, Econometrica, Journal of Economic Theory, Quarterly Journal of Economics, and Games and Economic Behavior. Contents:
Preface xiii
1 Introduction
Part I Representing Games
2 The Extensive Form
3 Strategies
4 The Normal Form
5 Beliefs, Mixed Strategies, and Expected Utility
Part II Analyzing Behavior in Static Settings
6 Dominance and Best Response
7 Rationalizability and Iterated Dominance
8 Location and Partnership
9 Congruous Strategies and Nash Equilibrium
10 Oligopoly, Tariffs, and Crime and Punishment
11 Mixed-Strategy Nash Equilibrium
12 Strictly Competitive Games and Security Strategies
13 Contract, Law, and Enforcement in Static Settings
Part III Analyzing Behavior in Dynamic Settings
14 Details of the Extensive Form
15 Backward Induction and Subgame Perfection
16 Topics in Industrial Organization
17 Parlor Games
18 Bargaining Problems
19 Analysis of Simple Bargaining Games
20 Games with Joint Decisions; Negotiation Equilibrium
21 Investment, Hold Up, and Ownership
22 Repeated Games and Reputation
23 Collusion, Trade Agreements, and Goodwill
24 Random Events and Incomplete Information
25 Risk and Incentives in Contracting
26 Bayesian Nash Equilibrium and Rationalizability
27 Trade with Incomplete Information
28 Perfect Bayesian Equilibrium
29 Job-Market Signaling and Reputation
Appendices
A Review of Mathematics
B The Mathematics of Rationalizability
Index