Information Package / Course Catalogue
Economic Applications of Game Theory
Course Code: ECN534
Course Type: Area Elective
Couse Group: Second Cycle (Master's Degree)
Education Language: Turkish
Work Placement: N/A
Theory: 3
Prt.: 0
Credit: 3
Lab: 0
ECTS: 5
Objectives of the Course

It is aimed to show the application areas of the theoretical knowledge given in the framework of Game Theory and to explain the relations between economic agents by using Game Theory models.

Course Content

Defining, classifying and formulating games, zero-sum games, positive-sum games, repetitive games, solutions of games, Cournot model, Bertrand model, electoral competition, mixed Strategies, confession, Stackelberg model, tariffs and international competition, coalition games, ownership and wealth distribution, collusion in the Cournot model, effective wages and time-consistent monetary policy, Cournot model under asymmetric information, procurement of public goods, auction, bargaining, trade in the market...

Name of Lecturer(s)
Learning Outcomes
1.Define Game Theory models with mathematical functions.
2.Will be able to analyze the relations between economic agents within the framework of Game Theory.
3.Will be able to analyze the dynamics of competitive power at firm and industry level for the real sector with applied methods.
4.Comprehend the setup for static and dynamic games under full knowledge and incomplete knowledge.
5.Develops strategy based on Game Theory.
Recommended or Required Reading
1.Robert GIBBONS - Game Theory for Applied Economists, Princeton University.
2.James FRIEDMAN - Game Theory with Applications to Economics, Oxford University Press.
3.Ensar YILMAZ - Oyun Teorisi, Literatür Yayıncılık.
4.Adam M. BRANDENBURGER, Barry J. NALEBUFF - Oyun Teorisi ve Ortaklaşa Rekabet, Scala Yayıncılık.
Weekly Detailed Course Contents
Week 1 - Theoretical
Defining, classifying and formulating games
Week 2 - Theoretical
Zero-sum games, positive-sum games, repeated games, and their solutions
Week 3 - Theoretical
Static games under full knowledge: Cournot model, Bertrand model, Election competition
Week 4 - Theoretical
Static games under full knowledge: Cournot model, Bertrand model, Election competition
Week 5 - Theoretical
Mixed strategies: Confession, Stackelberg model, tariffs and international competition
Week 6 - Theoretical
Mixed strategies: Confession, Stackelberg model, tariffs and international competition
Week 7 - Theoretical
Coalition games: Distribution of ownership and wealth, exchange of different houses, pairing
Week 8 - Theoretical
Coalition games: Distribution of ownership and wealth, exchange of different houses, pairing
Week 9 - Intermediate Exam
Midterm Examination
Week 10 - Theoretical
Repeated games: Collusion, effective wages, and time-consistent monetary policy in the Cournot model
Week 11 - Theoretical
Static games under incomplete information: Cournot model under asymmetric information, procurement of public goods, auction
Week 12 - Theoretical
Static games under incomplete information: Cournot model under asymmetric information, procurement of public goods, auction
Week 13 - Theoretical
Bargaining: Bargaining as a game, trading in the market
Week 14 - Theoretical
Bargaining: Bargaining as a game, trading in the market
Week 15 - Theoretical
Literature review on Game Theory and discussion of examples
Week 16 - Final Exam
Final Examination
Assessment Methods and Criteria
Type of AssessmentCountPercent
Midterm Examination1%30
Final Examination1%70
Workload Calculation
ActivitiesCountPreparationTimeTotal Work Load (hours)
Lecture - Theory140342
Individual Work140228
Midterm Examination123225
Final Examination128230
TOTAL WORKLOAD (hours)125
Contribution of Learning Outcomes to Programme Outcomes
PÇ-1
PÇ-2
PÇ-3
PÇ-4
PÇ-5
PÇ-6
PÇ-7
PÇ-8
PÇ-9
PÇ-10
PÇ-11
PÇ-12
PÇ-13
PÇ-14
PÇ-15
OÇ-1
2
2
2
2
5
2
4
3
2
OÇ-2
2
3
2
3
4
3
3
2
2
OÇ-3
3
2
3
2
3
2
3
2
2
OÇ-4
3
2
1
2
3
2
2
3
2
OÇ-5
2
1
2
1
4
2
2
3
2
Adnan Menderes University - Information Package / Course Catalogue
2026