RMI 9070 - Risk, Information and Incentives

3 Credit Hours
Prerequisites: Consent of RMI graduate advisor.
Description
The objective of this course is to introduce the theory and analysis of models of risk, information, and incentive provision. The first half of the course introduces the theory and some important applications of mechanism design. We will cover complete contracting and discuss hidden information (screening and signaling) models as well as hidden action (moral hazard) models in static as well as dynamic settings. In the second half of the course, we study dynamic stochastic models in various areas of economics.