The course consists of 14 meetings of 2 hours, two meetings per week. The first meeting is set up as a lecture, where new topics are introduced and\or illustrated. Topics typically involve tools from optimization, operations research, and computer science. The theory is illustrated in models, often derived from game theory and computer science. The second meeting is a tutorial meeting, where exercises are discussed. Each week you are supposed to 1) Read the reading material before the lecture, and 2) Prepare the exercises before the tutorial. Week 1. The simplex algorithm. Reading material. Cormen et al. Chapter 29, sections 29.1, 29.2, 29.3, 29.4, 29.5. Exercises. Cormen et al, Chapter 29. Exercises 29.1-4, 29.1-5, 29.1-6, 29.1-7. Exercises 29.2-2, 29.2-7. Exercises 29.3-2, 29.3-5, 29.3-6. Exercises 29.5-3, 29.5-5, 29.5-9. Week 2. Duality theory and the Bondareva-Shapley Theorem. Reading material. Peters. Chapter 22, sections 22.2, 22.3, 22.6. Peters. Section 16.5 on balancedness of the core. Exercises. Peters, Chapter 22. Exercises 22.4, 22.6, 22.7. Peters, Chapter 16. Exercises 16.16, 16.17.
Literature The course will be based on chapters from standard textbooks plus additional readers. Compulsory reading material is 1) 2) 3) 4)
Hans Peters, Game Theory: a multileveled approach, Springer, 2nd edition.
Cormen, Leiserson, Rivest, and Stein, Introduction to Algorithms, 3rd edition, MIT Press Roger Myerson, Game Theory: analysis of conflict, Harvard University Press Blockbook
Recommended literature for background reading are:
1) David Luenberger and Yinyu Ye, Linear and Nonlinear Programming 2) Papadimitriou and Steiglitz, Combinatorial Optimization: Algorithms and Complexity 3) Nemhauser and Wolsey, Integer and Combinatorial Optimization, John Wiley& Sons Prerequisites Only Master students can take this course. Exchange students need to have obtained a BSc degree in Economics, International Business, Econometrics, or a related topic. Familiarity with the basic concepts of optimization, linear programming, and game theory will be helpful. A solid basis in mathematics and calculus is also recommendable. Teaching methods Lecture, PBL, written exam.