Information acquisition and the value of bad news

B-Tier
Journal: Games and Economic Behavior
Year: 2018
Volume: 110
Issue: C
Pages: 165-173

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

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

Abstract

An interested party who controls both the acquisition and the transmission of information may find it optimal to disclose her evidence even when it is unfavorable. At the same time, the public does not necessarily make better decisions when there is more disclosure. The model provides a rationale for voluntary adverse announcements such as product recalls and earning warnings and implications for disclosure laws.

Technical Details

RePEc Handle
repec:eee:gamebe:v:110:y:2018:i:c:p:165-173
Journal Field
Theory
Author Count
1
Added to Database
2026-02-02