Games and Information: An Introduction to Game Theory / Edition 2

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What may be the most successful introductory game theory textbook ever written is now available in its fourth edition. Since it first published in 1989, successive editions have made its presentation ever more elegant, with incisive problem sets and applications.

Written in a crisp and approachable style, Games and Information, 4e uses simple modeling techniques and straightforward explanations to provide students with an understanding of game theory and information economics. The fourth edition brings this material completely up-to-date, adds new end-of-chapter problems and classroom games, and is accompanied by a comprehensive website, featuring problem Solutions and teaching notes: With its emphasis on applications of game theory and information economics to a vast array of disciplines, Games and Information, 4e provides an accessible first course for students in backgrounds as diverse as economics, business, mathematics, and political science.

About the Author:
Eric Rasmusen is the Dan R. and Catherine M. Dalton Professor of Business Economics and Public Policy at Indiana University in Bloomington

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Editorial Reviews

The author, a young applied theoretical economist who writes with sure command not only of his field but also of an engagingly crisp prose style, has produced a text intended to acquaint students and professionals with recent developments in the application of game theory, particularly in contexts where the players have asymmetric information. His method has been to "simplify" material presently confined mainly to journals, and his book is therefore largely non- redundant with titles already on the market. Thirteen chapters with many examples, exercises, notes and references, under three topical heads: "Game theory"; "Asymetric information"; "Applications". Good figures, extensive bibliography. NW Annotation c. Book News, Inc., Portland, OR
From the Publisher
Praise for the 3rd edition

"Rasmusen’s Games and Information provides wonderfulcoverage of the basics of game theory and information economics.His consistent style of presenting the theoretical structureslucidly unifies his test’s wide and well-chosen range ofapplications. I wish that all my students could take a course basedon this book, and envy them the opportunity."

Maxwell B. Stinchcombe, University of Texas atAustin

"This is a terrific book bringing together two strands in therecent literature on economic theory, namely game theory and theeconomics of asymmetric information. The style is brisk, thearguments are rigorous and it seems to be pitched at exactly theright level."

Partha Dasgupta, University of Cambridge

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Product Details

  • ISBN-13: 9781557865021
  • Publisher: Wiley, John & Sons, Incorporated
  • Publication date: 5/28/1994
  • Edition description: Older Edition
  • Edition number: 2
  • Pages: 379
  • Product dimensions: 7.08 (w) x 10.11 (h) x 1.31 (d)

Meet the Author

Eric Rasmusen is the Dan R. and Catherine M. Dalton Professor of Business Economics and Public Policy at Indiana University in Bloomington. In addition to Games and Information, he has edited Readings in Games and Information (Blackwell, 2001) and co-authored Measuring Judicial Independence: The Political Economy of Judging in Japan (2003).

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Table of Contents

Introduction 1
Pt. I Game Theory 7
1 The Rules of the Game 9
2 Information 35
3 Mixed and Continuous Strategies 67
4 Dynamic Games with Symmetric Information 93
5 Reputation and Repeated Games with Symmetric Information 121
6 Dynamic Games with Asymmetric Information 143
Pt. II Asymmetric Information 163
7 Moral Hazard: Hidden Actions 165
8 Topics in Moral Hazard 195
9 Adverse Selection 223
10 Signalling 249
Pt. III Applications 273
11 Bargaining 275
12 Auctions 293
13 Pricing 309
14 Entry 341
15 The New Industrial Organization 361
Appendix A: Answers to Odd-Numbered Problems 381
Appendix B: Mathematics 429
References and Name Index 441
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