The Economy with Network Effects

The Economy with Network Effects

Power Laws and Rich-Get-Richer Phenomena

Information Cascades

Information Cascades:

  • Bayes’s Rule
  • A Simple, General Cascade Model
Sponsored Search Markets

Sponsored Search Markets:

  • The VCG Price-Setting Mechanism
  • The Generalized Second-Price Auctions
Lecture #6: The Structure of The Web. Link Analysis and Web Search

The Structure of The Web:

  • Evolution of The Web
  • Web 2.0

Link Analysis and Web Search:

  • Hubs and Authorities
  • PageRank
Lecture #5: Bargaining and Power in Networks

Bargaining and Power in Networks:

  • Nash Bargaining Solution
  • The Ultimatum Game
  • Modeling Bargaining as a Game
Lecture #4: Matching Markets. Bargaining and Power in Social Networks

Matching Markets: Market-Clearing Prices.

Bargaining and Power in Networks: Power in Social Networks; Network Exchange

Lecture #3: Introduction to Game Theory; Modeling Network Traffic Using Game Theory; Auctions

Lecture #3:

  • Introduction to Game Theory: Mixed Strategies; Social Optimality;
  • Modeling Network Traffic Using Game Theory: Braess’s Paradox;
  • Auctions: Second-Price Auctions; Truthful Bidding; First-Price Auctions; Common Values and the Winner’s Curse
Lecture #2: 
Structural Balance in Networks. 
An Introduction to Game Theory: Prisoner’s Dilemma; Nash Equilibrium; Multiple Equilibria

Lecture #2:

  • Structural Balance in Networks. 
  • An Introduction to Game Theory: Prisoner’s Dilemma; Nash Equilibrium; Multiple Equilibria