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efficiency benchmark designed to address whether the equilibrium use of information is optimal from a social perspective; the …
Persistent link: https://www.econbiz.de/10010282995
relation between the equilibrium and the socially optimal degrees of coordination. The former summarizes the private value from …
Persistent link: https://www.econbiz.de/10010282908
-equilibrium play. Our main selection criterion is efficiency applied to all or only to "fair" equilibria. This assumption is applied to …
Persistent link: https://www.econbiz.de/10011630500
In Binary Threshold Public Good (BTPG) games n players contribute or not to the production of a public good which is produced if and only if there are at least k contributors. The BTPG games with the highest (k=n) and the lowest (k=1) threshold are the Stag Hunt game and the Volunteer's Dilemma....
Persistent link: https://www.econbiz.de/10011630501
I consider a flexible framework of strategic interactions under incomplete information in which, prior to committing their actions (consumption, production, or investment decisions), agents choose the attention to allocate to an arbitrarily large number of information sources about the primitive...
Persistent link: https://www.econbiz.de/10011335452
Harsanyi-Selten theory of equilibrium selection is moderately supported. Efficiency as an equilibrium selection device and also …
Persistent link: https://www.econbiz.de/10011438878
acquisition of information. First, we relate the (in)efficiency in the acquisition of information to the (in)efficiency in the use … of information and explain why efficiency in the use does not guarantee efficiency in the acquisition. Next, we show how …
Persistent link: https://www.econbiz.de/10010352847
Type structures are a simple device to describe higher-order beliefs. But how can we check whether two types generate the same belief hierarchy? This paper generalizes the concept of a type morphism and shows that one type structure is contained in another if and only if the former can be mapped...
Persistent link: https://www.econbiz.de/10011545321
efficiency) fails: social welfare (be it Rawlsian or Weighed Utilitarian) can be increased by assigning some agents to their … least productive sector. By sacrificing production efficiency, the planner incurs second-order losses in total output, but …
Persistent link: https://www.econbiz.de/10011335454
We study a theoretical general equilibrium environment in which the only activity of interest is armed robbery. Agents choose whether to be citizens or robbers, and whether to purchase handguns. Armed citizens can protect themselves from robbery but any armed agent runs the risk of accidentally...
Persistent link: https://www.econbiz.de/10010263368