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of privately known competence, who cares about his reputation, chooses the timing of the forecast regarding the outcome …. Further, any report hurts the forecaster’s reputation in the short run, with later reports incurring larger penalties. The … reputation of a silent forecaster, on the other hand, gradually improves over time. …
Persistent link: https://www.econbiz.de/10012123351
reputation for quality, and a principal (e.g. a regulator) can learn the agent's quality via costly inspections. Monitoring plays … two roles: an incentive role, because outcomes of inspections affect agent's reputation, and an informational role because …
Persistent link: https://www.econbiz.de/10011865082
monopolistic certifier can be hump-shaped in its reputation for accuracy: a higher accuracy attracts high-quality sellers but … one certifier, competition plays a disciplining role and the region where reputation is bad shrinks. Conversely, this …
Persistent link: https://www.econbiz.de/10013007814
information about the multiplier. We discuss potential reasons for the deviation between theory and experimental data. …
Persistent link: https://www.econbiz.de/10012422494
can be sustained by reputation motives in spite of the inherent conflict of interests between sellers and buyers. In the … absence of “commitment” types, reputation motives are explained as a consequence of equilibrium interplay between the market …, reputation motives do not disappear even after the seller’s ability is revealed. This model is applied to examine the extent to …
Persistent link: https://www.econbiz.de/10014203351
I study a repeated game in which a patient player wants to win the trust of some myopic opponents but can strictly benefit from betraying them. His benefit from betrayal is strictly positive and is his persistent private information. I characterize every type of patient player's highest...
Persistent link: https://www.econbiz.de/10012587361
I study reputation models in which information about the long-run player's past behavior is dispersed among short …-run players. I identify two challenges to reputation building when such information is aggregated via the short-run players …-run player's current period action, I propose a resistent to learning condition under which reputation fails. This is because the …
Persistent link: https://www.econbiz.de/10012169393
To analyze strategic interactions arising in the cyber-security context, we develop a new reputation game model in …
Persistent link: https://www.econbiz.de/10013297152
Asymmetric information is an important source of inefficiency when an asset (such as a firm) is transacted. The two main sources of this asymmetry are the unobserved idiosyncratic characteristics of the asset (such as future profitability) and unobserved idiosyncratic choices (like secret price...
Persistent link: https://www.econbiz.de/10014145542
This paper studies the reliability of financial reporting when the credibility of the manager, represented by his misreporting propensity, is unknown. We show that credibility concerns affect the time-series of reported earnings, book values, and stock prices in ways that seem consistent with...
Persistent link: https://www.econbiz.de/10011646596