IDEAS home Printed from https://ideas.repec.org/p/arx/papers/2006.02048.html
   My bibliography  Save this paper

Reaping the Informational Surplus in Bayesian Persuasion

Author

Listed:
  • Ronen Gradwohl
  • Niklas Hahn
  • Martin Hoefer
  • Rann Smorodinsky

Abstract

The Bayesian persuasion model studies communication between an informed sender and a receiver with a payoff-relevant action, emphasizing the ability of a sender to extract maximal surplus from his informational advantage. In this paper we study a setting with multiple senders, but in which the receiver interacts with only one sender of his choice: senders commit to signals and the receiver then chooses, at the interim stage, with which sender to interact. Our main result is that whenever senders are even slightly uncertain about each other's preferences, the receiver receives all the informational surplus in all equilibria of this game.

Suggested Citation

  • Ronen Gradwohl & Niklas Hahn & Martin Hoefer & Rann Smorodinsky, 2020. "Reaping the Informational Surplus in Bayesian Persuasion," Papers 2006.02048, arXiv.org.
    • Handle: RePEc:arx:papers:2006.02048
    as

    Download full text from publisher

    File URL: http://arxiv.org/pdf/2006.02048
    File Function: Latest version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Au, Pak Hung & Kawai, Keiichi, 2020. "Competitive information disclosure by multiple senders," Games and Economic Behavior, Elsevier, vol. 119(C), pages 56-78.
    2. Gentzkow, Matthew & Kamenica, Emir, 2017. "Bayesian persuasion with multiple senders and rich signal spaces," Games and Economic Behavior, Elsevier, vol. 104(C), pages 411-429.
    3. Kolotilin, Anton, 2015. "Experimental design to persuade," Games and Economic Behavior, Elsevier, vol. 90(C), pages 215-226.
    4. Emir Kamenica, 2019. "Bayesian Persuasion and Information Design," Annual Review of Economics, Annual Reviews, vol. 11(1), pages 249-272, August.
    5. Goldstein, Itay & Leitner, Yaron, 2018. "Stress tests and information disclosure," Journal of Economic Theory, Elsevier, vol. 177(C), pages 34-69.
    6. Li, Fei & Norman, Peter, 2018. "On Bayesian persuasion with multiple senders," Economics Letters, Elsevier, vol. 170(C), pages 66-70.
    7. Emir Kamenica & Matthew Gentzkow, 2011. "Bayesian Persuasion," American Economic Review, American Economic Association, vol. 101(6), pages 2590-2615, October.
    8. Arieli, Itai & Babichenko, Yakov, 2019. "Private Bayesian persuasion," Journal of Economic Theory, Elsevier, vol. 182(C), pages 185-217.
    9. Ricardo Alonso & Odilon Câmara, 2016. "Persuading Voters," American Economic Review, American Economic Association, vol. 106(11), pages 3590-3605, November.
    10. Koessler, Frederic & Laclau, Marie & Renault, Jérôme & Tomala, Tristan, 2022. "Long information design," Theoretical Economics, Econometric Society, vol. 17(2), May.
    11. Jeffrey Ely & Alexander Frankel & Emir Kamenica, 2015. "Suspense and Surprise," Journal of Political Economy, University of Chicago Press, vol. 123(1), pages 215-260.
    12. Matthew Gentzkow & Emir Kamenica, 2017. "Competition in Persuasion," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 84(1), pages 300-322.
    13. Pak Hung Au, 2015. "Dynamic information disclosure," RAND Journal of Economics, RAND Corporation, vol. 46(4), pages 791-823, October.
    14. repec:oup:restud:v:84:y::i:1:p:300-322. is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Au, Pak Hung & Kawai, Keiichi, 2020. "Competitive information disclosure by multiple senders," Games and Economic Behavior, Elsevier, vol. 119(C), pages 56-78.
    2. Ichihashi, Shota, 2019. "Limiting Sender's information in Bayesian persuasion," Games and Economic Behavior, Elsevier, vol. 117(C), pages 276-288.
    3. Wu, Wenhao & Ye, Bohan, 2023. "Competition in persuasion: An experiment," Games and Economic Behavior, Elsevier, vol. 138(C), pages 72-89.
    4. Shih-Tang Su & Vijay G. Subramanian, 2022. "Order of Commitments in Bayesian Persuasion with Partial-informed Senders," Papers 2202.06479, arXiv.org.
    5. Wu, Jiemai, 2020. "Non-competing persuaders," European Economic Review, Elsevier, vol. 127(C).
    6. Jacopo Bizzotto & Adrien Vigier, 2021. "Can a better informed listener be easier to persuade?," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 72(3), pages 705-721, October.
    7. Kerman, Toygar & Herings, P. Jean-Jacques & Karos, Dominik, 2020. "Persuading Strategic Voters," Research Memorandum 004, Maastricht University, Graduate School of Business and Economics (GSBE).
    8. Farzaneh Farhadi & Demosthenis Teneketzis, 2022. "Dynamic Information Design: A Simple Problem on Optimal Sequential Information Disclosure," Dynamic Games and Applications, Springer, vol. 12(2), pages 443-484, June.
    9. Dirk Bergemann & Stephen Morris, 2019. "Information Design: A Unified Perspective," Journal of Economic Literature, American Economic Association, vol. 57(1), pages 44-95, March.
    10. Alp Atakan & Mehmet Ekmekci & Ludovic Renou, 2021. "Cross-verification and Persuasive Cheap Talk," Papers 2102.13562, arXiv.org, revised Apr 2021.
    11. Shih-Tang Su & Vijay G. Subramanian & Grant Schoenebeck, 2021. "Bayesian Persuasion in Sequential Trials," Papers 2110.09594, arXiv.org, revised Nov 2021.
    12. Anton Kolotilin & Tymofiy Mylovanov & Andriy Zapechelnyuk & Ming Li, 2017. "Persuasion of a Privately Informed Receiver," Econometrica, Econometric Society, vol. 85(6), pages 1949-1964, November.
    13. Kolotilin, Anton & Li, Hongyi, 2021. "Relational communication," Theoretical Economics, Econometric Society, vol. 16(4), November.
    14. Elias Tsakas & Nikolas Tsakas & Dimitrios Xefteris, 2021. "Resisting persuasion," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 72(3), pages 723-742, October.
    15. Ozan Candogan & Philipp Strack, 2021. "Optimal Disclosure of Information to a Privately Informed Receiver," Papers 2101.10431, arXiv.org, revised Jan 2022.
    16. Kemal Kivanc Akoz & Arseniy Samsonov, 2023. "Bargaining over information structures," Discussion Papers 2301, Budapest University of Technology and Economics, Quantitative Social and Management Sciences.
    17. Geng, Sen & Guan, Menglong, 2023. "Trustworthy by design," Games and Economic Behavior, Elsevier, vol. 141(C), pages 70-87.
    18. Daehong Min, 2021. "Bayesian persuasion under partial commitment," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 72(3), pages 743-764, October.
    19. Rosar, Frank, 2017. "Test design under voluntary participation," Games and Economic Behavior, Elsevier, vol. 104(C), pages 632-655.
    20. Deepanshu Vasal, 2020. "Dynamic information design," Papers 2005.07267, arXiv.org.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:arx:papers:2006.02048. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: arXiv administrators (email available below). General contact details of provider: http://arxiv.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.