This paper considers a model of a rating agency with multiple clients, in which each client has a separate market that forms a belief about the quality of the client after the agency issues a rating. When the clients are rated separately (individual rating), the credibility of a good rating in...

We present a model of price discrimination where a monopolist faces a consumer who is privately informed about the distribution of his valuation for an indivisible unit of good but has yet to learn privately the actual valuation. The monopolist sequentially screens the consumer with a menu of...

When employers cannot tell whether a school truly has many good students or whether it is just giving easy grades, schools have an incentive to inflate grades to help their mediocre students. However schools also care about preserving the value of good grades for their good students. We...