Bachelor
2019/2020
Cooperative Games
Type:
Elective course (Applied Mathematics and Information Science)
Area of studies:
Applied Mathematics and Information Science
Delivered by:
Department of Mathematics
Where:
Faculty of Computer Science
When:
4 year, 2 module
Mode of studies:
offline
Instructors:
Emre Dogan
Language:
English
ECTS credits:
4
Contact hours:
46
Course Syllabus
Abstract
Cooperative game theory is the essential and chronologically original component of modern game theory. Its key idea is to study conflicts by analyzing the abilities of possible player coalitions, disregarding the exact mechanics of coalition formation, intra-coalition bargaining and player strategic actions. This provides robust and strict approach to studying games where exact non-cooperative formalization via strategies and payoffs is too complex, unconvincing or problematic in some other way. Classical and by-far most famous application of this approach is market exchange model in general equilibrium economics.
Learning Objectives
- To familiarise students with the modelling in cooperative game theory, its applications in various contexts, well know stability concepts, solutions and their properties.
Expected Learning Outcomes
- By the end of the course students will be able to understand the technical and conceptual differences concerning the modelling of cooperative and non-cooperative games, define the relevant core property and the stability notions in different context, and therefore understand the rationale behind long living agreements. Moreover, students will have technical skills to apply well-known solutions such as the Shapley value and the nucleolus in different problems.
Course Contents
- Market games, core property of competitive equilibrium.
- Transferable and nontransferable utility cooperative games, core, Shapley value, other solution concepts. Axiomatic characterisations.
- Cooperative games and market design. Matchings and other applications
- Cost sharing games
Bibliography
Recommended Core Bibliography
- Zamir, S., Solan, E., & Maschler, M. (2013). Game Theory. Cambridge: Cambridge eText. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsebk&AN=527892
Recommended Additional Bibliography
- Bezalel Peleg, & Peter Sudhölter. (2007). Introduction to the Theory of Cooperative Games. Springer. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.b.spr.thdlic.978.3.540.72945.7