We re-visit the single-agent mechanism design problem with quasi-linear preferences, but we assume that the principal knowingly operates on the basis of only an approximate type space rather than the (potentially complex) truth. We propose a two-step scheme, the profit-participation mechanism,...

The Chinese central government recently published a new regulation to strictly limit the time minors spend on online games, providing a favorable policy environment for the protection of their physical and mental health as well as their overall development. We first provide empirical evidence...