Ex post information rents in sequential screening

B-Tier
Journal: Games and Economic Behavior
Year: 2015
Volume: 90
Issue: C
Pages: 257-273

Authors (2)

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 study ex post information rents in sequential screening models where the agent receives private ex ante and ex post information. The principal has to pay ex post information rents for preventing the agent to coordinate lies about his ex ante and ex post information. When the agent's ex ante information is discrete, these rents are positive, whereas they are zero in continuous models. Consequently, full disclosure of ex post information is generally suboptimal. Optimal disclosure rules trade off the benefits from adapting the allocation to better information against the effect that more information aggravates truth-telling.

Technical Details

RePEc Handle
repec:eee:gamebe:v:90:y:2015:i:c:p:257-273
Journal Field
Theory
Author Count
2
Added to Database
2026-01-29