| List of Figures and Tables | |
| Acknowledgments | |
| A Note to Students and Instructors | |
| Introduction to Game Theory | |
| Introduction | |
| A Short History of Game Theory | |
| Strategic Behavior | |
| Glaxo and Zantac | |
| What is Game Theory? | |
| The Prisoner's Dilemma | |
| Shortcut for Finding Pure Strategy Nash Equilibria | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Mathematics Review | |
| Noncooperative, One-time, Static Games with Complete Information | |
| Introduction | |
| Strictly-Dominant Strategies | |
| Run With the Pitch | |
| Indiana Jones and the Last Crusade | |
| The Good, the Bad and the Ugly | |
| Nash Equilibrium | |
| Strictly-dominant Strategy Equilibrium | |
| Weakly-dominant Strategies | |
| Iterated Elimination of Strictly-Dominated Strategies | |
| Three-Player Games | |
| Non-Dominant Strategies | |
| A Beautiful Mind | |
| Maximin Decision Rule | |
| Minimax Regret Decision Rule | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Focal-Point and Evolutionary Equilibria | |
| Introduction | |
| Multiple Nash Equilibria | |
| Focal-Point Equilibrium | |
| Developing a Theory of Focal Point Equilibria Framing | |
| AZT versus Videx | |
| Evolutionary Game Theory | |
| Evolutionary Equilibrium in Broadband Technology? | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Infinitely-Repeated, Static Games with Complete Information | |
| Introduction | |
| Extra Credit Game Part I | |
| Collusion | |
| Prisoner's Dilemma Revisited | |
| Trigger Strategies | |
| Evaluating Payoffs in Infinitely-Repeated Games | |
| Cheating Rule for Infinitely-Repeated Games | |
| Making Threats Credible | |
| The Hunt for Red October | |
| Fail-Safe | |
| Determinants of Business Collusion | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Finitely-Repeated, Static Games with Complete Information | |
| Introduction | |
| Finitely-Repeated Games with a Certain End | |
| End-of-Game Problem | |
| Extra Credit Game Part II | |
| Finitely-Repeated Games with an Uncertain End | |
| Groundhog Day | |
| Cheating Rule for Finitely-Repeated Games with an Uncertain End | |
| Common Enforcement Mechanisms | |
| Philip Morris versus BAT | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Mixing Pure Strategies | |
| Introduction | |
| Zero-Sum Games | |
| Minimax Theorem | |
| Mixed Strategies | |
| Optimal Mixing Rules | |
| Computing Optimal Mixing rules | |
| When to Use Optimal Mixing Rules | |
| Randomizing Pure Strategies | |
| Bluffing | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Static Games with Continuous Strategies | |
| Introduction | |
| Continuous Strategies | |
| Reaction (Best Response) Functions | |
| Tragedy of the Commons | |
| The Coase Theorem | |
| The Global Carbon Tax | |
| Shifting Reaction Functions | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Imperfect Competition | |
| Introduction | |
| Market Structure | |
| Oligopoly | |
| Models of Oligopoly | |
| Cournot-Nash Equilibrium in the Corn Wet Milling Industry | |
| The OPEC Price-Fixing Cartel | |
| Blood Diamonds | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Perfect Competition and Monopoly | |
| Introduction | |
| Standard Model of Perfect Competition | |
| Perfect Competition and Game Theory | |
| Perfect Competition and the Cournot Model | |
| How Many Firms are Necessary for Perfect Competition? | |
| Standard Model of Monopoly | |
| Sources of Monopoly Power | |
| Monopoly and Game Theory | |
| Contestable Monopoly | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Strategic Trade Policy | |
| Introduction | |
| Boeing versus Airbus | |
| Strategic Trade Policy with Discrete Pure Strategies | |
| Strategic Trade Policy with Continuous Pure Strategies | |
| National Welfare | |
| Intraindustry Trade | |
| Imperfect Competition in International Trade | |
| To Trade or Not to Trade? | |
| Export Subsidies | |
| Reciprocity | |
| U S -Japan Voluntary Export Restraints | |
| Increasing Returns to Scale | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Dynamic Games with Complete and Perfect Information | |
| Introduction | |
| Game Trees | |
| Sun Country versus Northwest Airlines | |
| Subgame Perfect Equilibrium | |
| Backward Induction | |
| Simplifying the Notation | |
| First-Mover Advantage | |
| Leader of the Pack | |
| Credible Threats | |
| Dynamic Games with Continuous Strategies | |
| The Stackelberg Model | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Bargaining | |
| Introduction | |
| Nash Bargaining | |
| Dynamic Bargaining and the Last-Mover's Advantage | |
| Dynamic Bargaining With Symmetric Impatience | |
| Dynamic Bargaining With Asymmetric Impatience | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Pure Strategies with Uncertain Payoffs | |
| Introduction | |
| Static Games with Uncertain Payoffs | |
| Risk and Uncertainty | |
| Global Warming: Uncertainties, Certainties and Urgencies | |
| Attitudes Towards Risk | |
| Risk Averse Consumer Behavior | |
| Risk Averse Firm Behavior | |
| Dynamic Games With Uncertain Payoffs | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Measuring Risk | |
| Torts and Contracts | |
| Introduction | |
| Torts | |
| Nash Equilibrium and Economic Efficiency | |
| Contracts | |
| Economic Efficiency and the Common Law | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Auctions | |
| Introduction | |
| Business, Auctions, and the Internet | |
| FCC'S Wireless Spectrum Auction | |
| EBay | |
| Types of Auctions | |
| Auctions with Complete and Perfect Information | |
| Auctions with Independent Private Values | |
| Google Goes Dutch | |
| Auctions with Correlated Value Estimates | |
| Common Value Auctions and the Winner's Curse | |
| Auctions and Risk Averse Behavior | |
| Revelation Principle | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Dynamic Games with Imperfect Information | |
| Introduction | |
| Information Sets | |
| Bayesian Updating | |
| Adverse Selection and the Market for Lemons | |
| Signaling | |
| Spence Education Game | |
| U S News & World Report College Rankings | |
| Separating Strategy | |
| Pooling Strategy | |
| Screening | |
| Chapter Review | |
| Chapter Questions | |
| Chapter Exercises | |
| Notes | |
| Glossary of Terms and Concepts | |
| References and Suggestions for Further Reading | |
| Index | |
| Table of Contents provided by Ingram. All Rights Reserved. |
