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before deciding whether to join the queue. We pose the following question: which signaling mechanism should the service …-state distribution, and establish that, in general, the optimal signaling mechanism requires the service provider to strategically … conceal information in order to incentivize customers to join. In particular, we show that a binary signaling mechanism with a …
Persistent link: https://www.econbiz.de/10012934075
We consider a general screening model with payoff externalities and type-dependent feasibility constraints. The principal can design contract instruments of arbitrary dimension to influence each agent's valuation of the proposed transaction, which also depends on the anticipated choice of other...
Persistent link: https://www.econbiz.de/10012707951
We analyze optimal redistribution in the presence of labor market signaling where innate productive ability is not only … unobserved by the government, but also by prospective employers. Our model features signaling in both one and two dimensions … of educational attainment, we analyze the dual role of income taxation in redistributing income and affecting signaling …
Persistent link: https://www.econbiz.de/10012660137
We analyze optimal redistribution in the presence of labor market signaling where innate productive ability is not only … unobserved by the government, but also by prospective employers. Signaling in both one and two dimensions is considered, where in …
Persistent link: https://www.econbiz.de/10013217555
We study all-pay auctions where each player observes her private value as well as a noisy private signal about the opponent’s value, following Fang and Morris’s (J Econ Theory 126(1):1–30, 2006) analysis of winner-pay auctions with multidimensional private signals. A unique symmetric...
Persistent link: https://www.econbiz.de/10013235168
I study a level-k reasoning equilibrium in an asymmetric information environment populated by informed/uninformed agents and noise speculators. The approach provides a bridge between disclosing information and fractions of market participants, and sheds new light on the effects of information...
Persistent link: https://www.econbiz.de/10013235250
receiver’s inference about their type. We reestablish revenue equivalence when bidders’ signaling concerns are linear, and the … auction makes participation observable via an entry fee. With convex signaling concerns, optimal auctions are fully … transparent: every standard auction, which reveals all bids yields maximal revenue. With concave signaling concerns there is no …
Persistent link: https://www.econbiz.de/10013241716
seller's information is not verifiable, and the reserve price works as a signaling device. In this paper, we consider an … that such a signaling incentive could decrease the seller's profit and probability of sale in equilibrium, with a larger …. We estimate the reserve price signaling model using a novel dataset from a large online auto auction platform. We find …
Persistent link: https://www.econbiz.de/10013242047
We study dynamic signaling in a game of stochastic stakes. Each period, a privately informed agent of binary type …
Persistent link: https://www.econbiz.de/10013242323
We study dynamic signaling in a game of stochastic stakes. Each period, a privately informed agent of binary type …
Persistent link: https://www.econbiz.de/10013273761