Units

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Sample subject outline - Semester 1 2013

Note: Subject outlines often change before the semester begins. Below is a sample outline.

Rationale

This unit is one of the optional or elective units in the Economics Major. It is intended to deepen students' understanding of an important branch of economics by developing their understanding of the key theoretical foundations of game theory and its applications.

Aims

The aim of this unit is to provide a solid grounding in the foundations of game theory and the economics of information, as well as a grasp of how these theoretical principles can be used to model economic behaviour in business and public sectors.

Objectives

Course Learning Goals (Undergraduate)
The QUT Business School has established the Assurance of Learning (AOL) Goals to meet contemporary industry needs and standards. Achieving these learning outcomes will assist you to meet the desired graduate outcomes set at QUT - aligned with other internationally renowned business schools. Students will develop the following capabilities relevant to a contemporary global and sustainable business environment:

Have knowledge and skills pertinent to a particular discipline (KS)

1.1 Integrate and apply disciplinary theory and skills to practical situations
1.2 Incorporate the use of technology appropriate to the discipline and context

Be critical thinkers and effective problem solvers (CTA)

2.1 Identify, research and critically analyse information relevant to a business problem or issue, be able to synthesise that information in order to evaluate potential solutions, make recommendations or otherwise effectively address the problem or issue

Be professional communicators in an intercultural context (PC)

3.1 Communicate effectively through written tasks appropriate to varied contexts and audiences
3.2 Communicate effectively through professional oral presentations appropriate to varied contexts and audiences

Be able to work effectively in a Team Environment (TW)

4.1 Demonstrate effective team skills in order to contribute appropriately to the production of a group output

Have a Social and Ethical Understanding (SEU)

5.1 Apply ethical reasoning, standards or codes of practice relevant to the discipline and make decisions that are informed by social and cultural understanding

Unit Objectives
Upon completion of this unit, you should:

1. Acquire knowledge and critical thinking skills
2. Develop the ability to work in groups
3. Develop the ability to apply game-theoretic concepts to economic problems not previously encountered, consequently enhancing generic capabilities.

The specific course learning goals and unit objectives that apply to this unit are shown in the assessment section of this unit outline.

Content

This unit addresses the theoretical foundations of game theory and the economics of information, focussing on how individuals and firms deal with uncertainty and situations involving strategic interactions. The theoretical concepts are illustrated with applications from both the private and public sector. Contents include:

game theory and its economic applications

the economics of uncertainty and information

asymmetric information and mechanism design

auctions

bargaining

markets and competition

Approaches to Teaching and Learning

One two-hour lecture is provided each week . The lecture program involves the presentation of theoretical and empirical material by the lecturer, with opportunity for questions from students. In addition, there are interactive components in the lecture program whereby students take part in "class experiments" workshops, and discussions, which will help illustrate and understand some of theoretical concepts studied in this unit. A one-hour tutorial is provided, in which problem-solving applications of the theory are discussed.

Assessment

Students will receive feedback in various forms throughout the semester which may include:

Informal: worked examples, such as verbal feedback in class, personal consultation

Formal: in writing, such as checklists (e.g. criteria sheets), written commentary

Direct: to individual students, either in written form or in consultation

Indirect: to the whole class

Assessment name: Assignments
Description: Involves problem solving or discussion oriented questions, with an option to do a case-study in lieu of one of the problem-solving assignments.
Length/Duration: Approximately 6-7 problem solving questions
Formative or Summative: Formative and Summative
Relates to objectives: Unit objectives: 1, 2, 3 and AOL goals: KS (1.1), CTA (2.1), PC (3.1), SEU (5.1)
Weight: 40%
Internal or external: Internal
Group or individual: Individual
Due date: Weeks 7 and 12

Assessment name: Final Exam
Description: Problem-solving/short-answer/essay-type questions based on material covered in the unit.
Length/Duration: 2 hours + 10 minutes perusal
Formative or Summative: Summative
Relates to objectives: Unit objectives: 1, 2 and AOL goals: KS (1.1), CTA (2.1), PC (3.1), SEU (5.1)
Weight: 60%
Internal or external: Internal
Group or individual: Individual
Due date: Central Exam Period

Academic Honesty

QUT is committed to maintaining high academic standards to protect the value of its qualifications. To assist you in assuring the academic integrity of your assessment you are encouraged to make use of the support materials and services available to help you consider and check your assessment items. Important information about the university's approach to academic integrity of assessment is on your unit Blackboard site.

A breach of academic integrity is regarded as Student Misconduct and can lead to the imposition of penalties.

Resource materials

Resource materials include both printed and electronic resources of all types.

Prescribed Texts
Dixit and Skeath and Reiley (2009) Games of Strategy, Norton
Schotter, Andrew (2007) Microeconomics: A Modern Approach, Pearson Education

Additional Resources
The following are useful references, including textbooks, journals and websites:

Binmore, Ken, (2007) Playing for Real: A Text on Game Theory, Oxford University Press
Kreps, D, (1990) Game Theory and Economic Modelling, Oxford University Press
Osborne, M., and A. Rubinstein, (1993) A Course in Game Theory, MIT Press
Osborne, M, (2004) An Introduction to Game Theory, Oxford University Press
Varian (1999) Intermediate Microeconomics: A Modern Approach, 5th Edition, Norton

Other Resources
The Blackboard site for this unit contains links to many additional resources that are pertinent to this unit, including supplementary lecture material.

Risk assessment statement

There are no out-of-the-ordinary risks associated with lectures or tutorials in this unit. You should, however, familiarise yourself with evacuation procedures operating in the buildings in which you attend classes and take the time to
view the Emergency video.

Disclaimer - Offer of some units is subject to viability, and information in these Unit Outlines is subject to change prior to commencement of semester.

Last modified: 21-May-2012