Showing 1 - 10 of 1,958
This paper studies asset markets where buyers of assets do not inherit private information from previous owners and must learn asset quality over time. Imperfect information transmission reduces asymmetric information, but also reduces the trading volume, prices and efficiency. This result is...
Persistent link: https://www.econbiz.de/10013005245
. -- Matching and bargaining ; search ; double auctions ; foundations for perfect competition ; rate of convergence …
Persistent link: https://www.econbiz.de/10003782133
Short-lived buyers arrive to a platform over time and randomly match with sellers. The sellers stay at the platform and sequentially decide whether to accept incoming requests. The platform designs what buyer information the sellers observe before deciding to form a match. We show full...
Persistent link: https://www.econbiz.de/10012919275
When agents do not know where to find a match, they search. However, agents could direct their search to agents who … strategically choose a certain signal. Introducing cheap talk to a model of sequential search with bargaining, we find that signals … is a necessary and sufficient condition. It simultaneously ensures perfect positive assortative matching, so that single …
Persistent link: https://www.econbiz.de/10010128388
This paper studies a decentralized, dynamic matching and bargaining market: buyers and sellers are matched into pairs …. Traders exit the market at a constant rate, inducing search costs (frictions). All price offers are made by sellers. Despite … static results of the decentralized trading outcome with respect to the level of the search frictions …
Persistent link: https://www.econbiz.de/10014219803
Why do some incomplete information markets feature intermediaries while others do not? I study the allocation of two goods in an incomplete information setting with a single principal, multiple agents with unit demand, and interdependent valuations. I construct a novel dynamic mechanism...
Persistent link: https://www.econbiz.de/10014418049
This paper studies repeated trade with noisy information about previous transactions. A buyer has private information about his willingness to pay, which is either low or high, and buys goods from different sellers over time. Each seller observes a noisy history of signals about the buyer's...
Persistent link: https://www.econbiz.de/10015332593
This paper studies repeated trade with noisy information about previous transactions. A buyer has private information about his willingness to pay, which is either low or high, and buys goods from different sellers over time. Each seller observes a noisy history of signals about the buyer's...
Persistent link: https://www.econbiz.de/10014520857
We study the effect of diminishing search frictions in markets with adverse selection by presenting a model in which …
Persistent link: https://www.econbiz.de/10014494073
This paper studies a matching algorithm which is termed incomplete-information deferred acceptance (DA). We show that …
Persistent link: https://www.econbiz.de/10013306085