Bachelor
2025/2026
Cooperative and Noncooperative Decision Making
Type:
Elective course (Applied Mathematics and Information Science)
Delivered by:
Department of Mathematics
Where:
Faculty of Economic Sciences
When:
4 year, 1, 2 module
Open to:
students of one campus
Instructors:
Emre Dogan
Language:
English
ECTS credits:
5
Course Syllabus
Abstract
Rules that are engineered to govern the cooperative decision-making process naturally creates strategic environments and renders the decision-making noncooperative. This course introduces mechanism design and provides theoretical analysis of mechanism design in various models including assignment, matching, school choice, and auctions. Moreover, cooperative games, main concepts and solutions are introduced.
Learning Objectives
- To familiarize students with the intertwined relation between the cooperative and noncooperative decision making and equip students with the knowledge of useful and important models of real-life problems.
Expected Learning Outcomes
- After this course students will have a good understanding of various issues with designing decision making processes. They will gain skills in analyzing different aspects of mechanisms and engineer cooperative decision-making processes
- Students are expected to understand implementation of social choice functions
Course Contents
- Introduction to mechanism design
- Object assignment problem with or without ownership
- Matching
- Random assignment
- School choice
- Auctions
- Cooperative games
- Cost sharing games
Interim Assessment
- 2025/2026 2nd module0.13 * Attendance + 0.29 * Final Exam + 0.29 * Homework + 0.29 * Midterm Exam
Bibliography
Recommended Core Bibliography
- Abdulkadiroglu, A., & Sonmez, T. (1999). House Allocation with Existing Tenants. Journal of Economic Theory, (2), 233. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.a.eee.jetheo.v88y1999i2p233.260
- An introduction to game theory, Osborne, M. J., 2009
- Cooperative microeconomics : a game-theoretic introduction, Moulin, H., 1995
- Haeringer, G. (2018). Market Design: Auctions and Matching. The MIT Press. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.b.mtp.titles.0262037548
- Market design : auctions and matching, Haeringer, G., 2017
- William Thomson. (2009). Bargaining and the theory of cooperative games: John Nash and beyond. RCER Working Papers. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsrep&AN=edsrep.p.roc.rocher.554
- Zamir, S., Solan, E., & Maschler, M. (2013). Game Theory. Cambridge: Cambridge eText. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=edsebk&AN=527892
Recommended Additional Bibliography
- Two-sided matching: a study in game-theoretic modeling and analysis, Roth, A.E., 1992