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other hand the decision makers rely too much on the received information. Moreover, communication as well as payoffs … communication is less biased. In all treatments, however, the messages are more precise than theoretically predicted. …
Persistent link: https://www.econbiz.de/10010260085
We study communication in a static Cournot duopoly model under the assumption that the firms have unverifiable private … can communicate through a third party, communication can be informative even when it is not substantiated by any … commitment or costly actions. We exhibit a simple mechanism that ensures informative communication and interim Pareto dominates …
Persistent link: https://www.econbiz.de/10009633349
out actual competitive activities. This paper investigates players' incentives to conduct such pre-contest communication …
Persistent link: https://www.econbiz.de/10013119001
We analyze delegation of a set of decisions over time by an informed principal to a potentially biased agent. Each period the principal observes a state of the world and sends a “cheap-talk” message to the agent, who is privately informed about her bias. We focus on principal-optimal...
Persistent link: https://www.econbiz.de/10011609923
) private information with sequential, two-way communication. In the first stage, the buyer communicates her private preferences …
Persistent link: https://www.econbiz.de/10014479178
with two-sided incomplete information. Our particular interest regards mutual communication of trustworthiness. The … then study efficient mutual communication of trustworthiness for both incentive structures in a unified framework and …. First, in the Communication Phase information about the respective opponent's type is transmitted, after which in the …
Persistent link: https://www.econbiz.de/10014121610
Abstract I study how an informed manager can benefit from cheap-talk communication by strategically forming diverse … credibility through having greater diversity in each group against the cost from the inability to tailor communication among … workers in the same group. Public and private communication are restrictions on the partitions the manager can adopt, and the …
Persistent link: https://www.econbiz.de/10013223231
This paper analyzes strategic information transmission between a sender and a receiver with similar objectives. We provide a first-order approximation of the equilibrium behavior in the general version of the Crawford and Sobel's (1982) model with a small bias. Our analysis goes beyond the usual...
Persistent link: https://www.econbiz.de/10013163024
We investigate how heterogeneous social preferences affect the communication of painful information in social …
Persistent link: https://www.econbiz.de/10014564280
Case studies of cartels and recent theory suggest that communication promotes cooperation under imperfect monitoring … question how much communication is needed to sustain cooperation. We find that pre-play communication reduces strategic … high and stable cooperation rate. However, repeated communication is necessary to maintain a high level of cooperation …
Persistent link: https://www.econbiz.de/10012854170