There has been an extensive research literature on auctions, but recent developments in technology have resulted in new interest in auction mechanisms as a practical way of allocating resources. This paper presents a new double-auction mechanism to handle resource allocation for public goods...

I develop a theory of knowledge sharing in organizations where coordinated activity requires shared knowledge, and knowledge sharing is local and costly. Because knowledge sharing is local, knowledge diffuses gradually across an organization. Because knowledge sharing is costly, diffusion may...

This paper extends Li (2008b) to the multi-agent environment, where players reason about each other's awareness as well as knowledge, subject to their own awareness constraints. I characterize the interactive knowledge hierarchies under unawareness, which significantly differ from those in the...

Following Garicano (2000), we consider groups whose members decide what knowledge to acquire and how to use this knowledge in production. If efficient production requires common knowledge, all group members should become workers and acquire common knowledge. But if efficient production requires...

Following Garicano (2000), we consider groups whose members decide what knowledge to acquire and how to use this knowledge in production. If efficient production requires common knowledge, all group members should become workers and acquire common knowledge. But if efficient production requires...

Scientific models structure our perception of reality. This paper studies how we choose among them under expert advice. Scientific models are formalised as probability distributions over possible scenarios. An expert is assumed to know the most likely model and seeks to communicate it to a...