This chapter deals with uncertainty and incomplete information in markets. It first considers situations in which the contract proposer is the ignorant party with the problem of designing a mechanism that induces the counter party, who is exogenously endowed with his information, to reveal that...

Intellectual property owners often hold the rights to several patents, each of which is essential to make or use a product. We compare the welfare properties of package licenses, under which a licensee pays the same fee regardless of the number of technologies licensed, with component licenses,...