Information Package / Course Catalogue
Game Theory
Course Code: EKO512
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

The objective of this course is to enable students to model static and dynamic strategic interactions under complete and incomplete information using advanced game-theoretic methodologies, and to analytically solve strategic decision-making processes through core solution concepts (Nash Equilibrium, Subgame Perfect Equilibrium, Bayesian Nash Equilibrium, and Perfect Bayesian Equilibrium). Additionally, the course aims to equip students with the skills to independently analyze game-theoretic models in economic literature and apply them to their own research by critically evaluating foundational mechanisms such as auctions, signaling, cheap talk, and bargaining, alongside evolutionary and behavioral game theory approaches.

Course Content

This course provides a comprehensive examination of the theoretical framework, mathematical foundations, and strategic solution concepts of game theory at the graduate level. Focusing heavily on modeling strategic interactions in game form, the curriculum covers static and dynamic games under both complete and incomplete information, analytically deciphering the equilibrium mechanisms within these structures. Throughout the semester, alongside foundational game-theoretic applications such as repeated games, auction theory, signaling games, cheap talk, and sequential bargaining models, the course explores evolutionary stable strategies (ESS) and behavioral game theory literature that relax classical rationality assumptions. By the end of the term, students will acquire the capacity to independently analyze complex game-theoretic models in economic literature and construct original strategic models for their own academic research.

Name of Lecturer(s)
Learning Outcomes
1.Model strategic interaction processes in economic, institutional, or social contexts at a theoretical level in normal (static) and extensive (dynamic) forms using game-theoretic methodology.
2.Analytically solve advanced equilibrium concepts (Nash Equilibrium, Subgame Perfect Nash Equilibrium, Bayesian Nash Equilibrium, and Perfect Bayesian Equilibrium) corresponding to interaction scenarios under complete and incomplete information.
3.Analyze asymmetric information and coordination problems in markets through the lenses of auction theory, signaling, screening, and cheap talk mechanisms, along with their impacts on economic efficiency.
4.Critically evaluate the perfect rationality and common knowledge assumptions of classical game theory in light of evolutionary stable strategies (ESS) and experimental/laboratory findings of behavioral game theory.
5.Independently analyze the mathematical and intuitive foundations of seminal and contemporary game-theoretic models in economic literature and adapt them to their own academic research designs.
Recommended or Required Reading
1.Gibbons, R. (1992). Game theory for applied economists. Princeton University Press.
2.Fudenberg, D., & Tirole, J. (1991). Game theory. MIT Press.
3.Osborne, M. J. (2004). An introduction to game theory. Oxford University Press.
4.Yılmaz, E. (2022). Oyun Teorisi. Literatür Yayıncılık.
5.Polat, M., & Akan, Y. (2024). Oyun Teorisi: Strateji ve Karar Mekanizmaları. Özgür Yayınları.
Weekly Detailed Course Contents
Week 1 - Theoretical
Static Games of Complete Information and Nash Equilibrium
Week 2 - Theoretical
Mixed Strategies in Static Games and Economic Applications
Week 3 - Theoretical
Dynamic Games of Complete Information and Backward Induction
Week 4 - Theoretical
Subgame Perfect Nash Equilibrium (SPNE) and Dynamic Applications
Week 5 - Theoretical
Repeated Games and Time Preference
Week 6 - Theoretical
Static Games of Incomplete Information and Bayesian Nash Equilibrium
Week 7 - Theoretical
Foundations of Modeling in Game Theory
Week 8 - Theoretical
Auction Theory and Mechanisms
Week 9 - Theoretical
Dynamic Games of Incomplete Information and Perfect Bayesian Equilibrium (PBE)
Week 10 - Theoretical
Job Market Signaling and Cheap Talk
Week 11 - Theoretical
Bargaining Theory: Axiomatic and Strategic Approaches
Week 12 - Theoretical
Evolutionary Game Theory and Evolutionary Stable Strategies (ESS)
Week 13 - Theoretical
Behavioral Game Theory and Laboratory Experiments
Week 14 - Theoretical
Contemporary Developments in Game Theory
Assessment Methods and Criteria
Type of AssessmentCountPercent
Quiz1%10
Assignment Examination1%10
Midterm Examination1%20
Final Examination1%60
Workload Calculation
ActivitiesCountPreparationTimeTotal Work Load (hours)
Lecture - Theory143384
Assignment Examination110111
Quiz110111
Midterm Examination110212
Final Examination110313
TOTAL WORKLOAD (hours)131
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
OÇ-1
5
4
5
3
3
3
4
3
3
3
OÇ-2
5
4
5
3
3
3
4
3
3
3
OÇ-3
5
4
5
4
4
3
5
4
4
5
OÇ-4
5
4
4
3
3
5
4
3
3
OÇ-5
5
5
5
3
3
4
4
3
4
Adnan Menderes University - Information Package / Course Catalogue
2026