Ignorance Is Bliss: An Experimental Study of the Use of Ambiguity and Vagueness in the Coordination Games with Asymmetric Payoffs

B-Tier
Journal: American Economic Journal: Microeconomics
Year: 2012
Volume: 4
Issue: 2
Pages: 77-103

Authors (2)

Marina Agranov (not in RePEc) Andrew Schotter (New York University (NYU))

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We consider a game where one player, the Announcer, has to communicate the value of a payoff relevant state of the world to a set of players who play a coordination game with multiple equilibria. While the Announcer and the players agree that coordination is desirable, since the payoffs of the players at the equilibria are unequal, they disagree as to which equilibrium is best. We demonstrate experimentally that in such coordination games, in order to mask the asymmetry of equilibrium payoffs, it may be advantageous for a utilitarian benevolent Announcer to communicate in an ambiguous or vague manner. (JEL C71, D81, D83)

Technical Details

RePEc Handle
repec:aea:aejmic:v:4:y:2012:i:2:p:77-103
Journal Field
General
Author Count
2
Added to Database
2026-01-29