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The role of externalities and information aggregation in market collapse

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  • Hikmet Gunay

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  • Hikmet Gunay, 2008. "The role of externalities and information aggregation in market collapse," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 35(2), pages 367-379, May.
    • Handle: RePEc:spr:joecth:v:35:y:2008:i:2:p:367-379
    DOI: 10.1007/s00199-006-0158-7
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    References listed on IDEAS

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    1. Paul Heidhues & Nicolas Melissas, 2006. "Equilibria in a dynamic global game: the role of cohort effects," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 28(3), pages 531-557, August.
    2. Godfrey Keller & Sven Rady & Martin Cripps, 2005. "Strategic Experimentation with Exponential Bandits," Econometrica, Econometric Society, vol. 73(1), pages 39-68, January.
    3. Chamley,Christophe P., 2004. "Rational Herds," Cambridge Books, Cambridge University Press, number 9780521530927.
    4. Chamley,Christophe P., 2004. "Rational Herds," Cambridge Books, Cambridge University Press, number 9780521824019.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Paul Heidhues & Nicolas Melissas, 2010. "Technology adoption, social learning, and economic policy," ESMT Research Working Papers ESMT-10-007, ESMT European School of Management and Technology.
    2. Aoyagi, Masaki & Bhalla, Manaswini & Gunay, Hikmet, 2016. "Social learning and delay in a dynamic model of price competition," Journal of Economic Theory, Elsevier, vol. 165(C), pages 565-600.
    3. Gordon Rausser & Leo Simon & Jinhua Zhao, 2015. "Rational exaggeration and counter-exaggeration in information aggregation games," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 59(1), pages 109-146, May.
    4. Gong, Zheng & Tian, Feng & Xu, Boyan, 2013. "Limited Information Aggregation and Externalities - A Simple Model of Metastable Market," MPRA Paper 52143, University Library of Munich, Germany.
    5. Heidhues, Paul & Melissas, Nicolas, 2012. "Rational exuberance," European Economic Review, Elsevier, vol. 56(6), pages 1220-1240.
    6. Hikmet Gunay, 2014. "Waiting for Signaling Quality," Southern Economic Journal, John Wiley & Sons, vol. 81(2), pages 364-386, October.

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    More about this item

    Keywords

    Social (observational) learning; Information aggregation; Strategic delay (waiting); Experimentation; Coordination avalanche; Optimal stopping; C72; D82;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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