Institutions and in particular political institutions are a central determinant of economic performance. In this course, we learn the characteristics of collective decision making and political processes as well as the theoretical tools in institutional design. At the end of the course we will discuss recent research in political economics, design of institutions and policy.

The goal of the lecture is to learn how to think strategically and cooperatively and to apply the concepts of game theory to economic, social, political, and business situations. The course covers:Noncooperative and Cooperative Game Theory, concepts and applications.