Second year module
Lecturer: J. Smith
The first part of this module, decision theory, deals with subjective probability, rational preferences and utility, expected utility, risk aversion, objections and alternatives to expected utility theory, and group decisions. The second part provides an introduction to major concepts of game theory.
On completion of this module, the student will be able to demonstrate knowledge of the major concepts of decision theory and games, will understand the interrelation of these concepts and their use in the applications of economics, and be aware of discussions and alternative viewpoints concerning their applicability.
2 hr written examination 80%
Problem-solving exercises 20%