Be it a trade treaty or a marketing war or an election or even a courtship; people think strategically, i.e., they formulate their own actions while anticipating others'. Game theory provides a unifying framework to study such strategic interactions. A special case of interest is games in which some players know more than others. For instance, a CEO (who happens to hold stock options) may know more about his/her company's future than others investors who hold stocks in that company. We study how such informational asymmetries influence people's strategies. Many new insights emerge from the study of Games and Information: First, individually rational behavior need not maximize a society's welfare in any conceivable sense. Second, asymmetric information may lead to perverse incentives among individuals, causing certain types of markets to either function very inefficiently or to collapse altogether. And third, in light of the above points, we should pay close attention to designing the correct `rules of the game'-rules of corporate governance, the regulatory framework, the law and the Constitution! Format: lecture/discussion. Requirements: problem sets, a mid-term and a final. Prerequisites: Economics 251; Mathematics 104 or permission of instructor. Enrollment limit: 20 (expected: 15). Preference given to senior Economics majors.