Information Unraveling Revisited: Disclosure of Horizontal Attributes

A-Tier
Journal: Journal of Industrial Economics
Year: 2014
Volume: 62
Issue: 1
Pages: 113-136

Score contribution per author:

4.036 = (α=2.02 / 1 authors) × 2.0x A-tier

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

Abstract

type="main"> <p>This paper analyzes in a spatial framework how much information a seller discloses about the variety he sells when he faces a buyer with a privately known taste for variety. I identify an equilibrium in which, for each possible variety, the seller's optimal strategy consists of either fully disclosing the variety or disclosing how far it is from the buyer's expected taste. The set of varieties the seller fully discloses monotonically expands as the buyer's taste for variety becomes stronger. I show that this is the unique undefeated equilibrium. From a policy perspective, mandating full disclosure is socially harmful.

Technical Details

RePEc Handle
repec:bla:jindec:v:62:y:2014:i:1:p:113-136
Journal Field
Industrial Organization
Author Count
1
Added to Database
2026-01-25