The Design and Price of Information

S-Tier
Journal: American Economic Review
Year: 2018
Volume: 108
Issue: 1
Pages: 1-48

Score contribution per author:

2.681 = (α=2.01 / 3 authors) × 4.0x S-tier

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

Abstract

A data buyer faces a decision problem under uncertainty. He can augment his initial private information with supplemental data from a data seller. His willingness to pay for supplemental data is determined by the quality of his initial private information. The data seller optimally offers a menu of statistical experiments. We establish the properties that any revenue-maximizing menu of experiments must satisfy. Every experiment is a non-dispersed stochastic matrix, and every menu contains a fully informative experiment. In the cases of binary states and actions, or binary types, we provide an explicit construction of the optimal menu of experiments.

Technical Details

RePEc Handle
repec:aea:aecrev:v:108:y:2018:i:1:p:1-48
Journal Field
General
Author Count
3
Added to Database
2026-01-24