Lai, Richard - Volkswirtschaftliche Fakultät, … - 2006
the market? I consider the example of inventory and fill rates. When the market sees a high-inventory firm, it cannot tell … whether the inventory is due to incompetence or a strategy to enhance fill rate. Firms might decide to signal their competence … to the market by carrying less inventory. I show conditions for separating and pooling perfect Bayesian equilibria. I …