Game Theory: Fundamentals of Mechanism and Market Design

Understanding how individuals make choices in competitive environments is essential for designing effective systems and institutions. Mechanism design provides the tools to structure rules that lead to desired outcomes. By mastering the core concepts of game theory, you will gain the ability to formally model strategic interactions and apply proven design principles to create fair, stable, and efficient allocation processes in various markets. What you'll learn: * Understand the core principles of non-cooperative game theory, including Nash equilibrium and dominant strategies. * Apply foundational auction theory concepts, analyzing common formats like English, Dutch, and sealed-bid auctions. * Master the principles of mechanism design, focusing on achieving goals like efficiency, individual rationality, and incentive compatibility. * Analyze and design stable matching algorithms for complex allocation problems, such as school choice and two-sided markets. * Practice modeling real-world allocation problems, including resource distribution and public goods provision. * Explore basic concepts in algorithmic game theory and its application in modern digital market structures. This course begins with the mathematical foundations of strategic interaction before moving into practical applications of mechanism design. You will read detailed explanations of classic market structures and matching algorithms, concluding with modern examples. This course is designed for absolute beginners interested in economics, computer science, and social science who want a rigorous introduction to designing systems where agents act strategically. No prior knowledge of advanced mathematics or economics is required. Start building your expertise in strategic system design today.