data from coordination games. The analysis shows that the model fits the data well as it matches the key stylized facts. It …

data from coordination games. The analysis shows that the model fits the data well as it matches the key stylized facts. It …

This paper studies a coordination game with incomplete information and the option to delay. The delay option enables … good news, and consequently induce more coordination. Relying on this trade-off, we find the unique monotone equilibrium …, which features the inability of the delay option in facilitating coordination. If the waiting period is sufficiently short …