Ueng, Zen-Fu; Yang, C. C. - In: Journal of Economics 84 (2005) 1, pp. 1-26
A crucial idea in Laffont and Tirole (1993) is the extraction of costly information rent through production distortion. In this paper we augment the Laffont-Tirole model with time delay, highlighting the possibility of further rent extraction through consumption distortion due to the delayed...