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We study voluntary disclosure strategies in leader-follower games where firms choose real actions sequentially after simultaneously disclosing information. We show that the leader incurs an endogenous consistency cost when withholding information because it must choose a suboptimal real action...
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Managerial forecast disclosure has gained increasing interest. Besides voluntary publication, managers are more and more obliged to disclose forecasts by recent accounting regulation. This acknowledges the common proposition that forecasts were exceptionally relevant and decision useful...
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This paper studies the incentives for interim voluntary disclosure of verifiable information in probabilistic all-pay contests. Provided that the contest is uniformly asymmetric, full revelation is the unique perfect Bayesian equilibrium outcome. This is so because the weakest type of the...
Persistent link: https://www.econbiz.de/10013251018
-disclosure as bad news, leading to the failure of complete unravelling. This paper experimentally examines whether competition … examine whether receivers' naivety about non-disclosed information decreases with competition between senders. We find that … complete unravelling fails to occur without competition. However, with competition, there is significantly higher unravelling …
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