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Reducing Congestion Through Information Design

In: BAYESIAN PERSUASION

Author

Listed:
  • Sanmay Das
  • Emir Kamenica
  • Renee Mirka

Abstract

We consider the problem of designing information in games of uncertain congestion, such as traffic networks where road conditions are uncertain. Using the framework of Bayesian persuasion, we show that suitable information structures can mitigate congestion and improve social welfare.

Suggested Citation

  • Sanmay Das & Emir Kamenica & Renee Mirka, 2025. "Reducing Congestion Through Information Design," World Scientific Book Chapters, in: BAYESIAN PERSUASION, chapter 7, pages 165-176, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789819802982_0007
    as

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    More about this item

    Keywords

    Bayesian Persuasion; Economic Theory; Information Economics; Information Design; Disclosure; Game Theory; Strategic Communication; Disclosure Regulation; Persuasion Games; Political Economy; Economic Behavior; Information Revelation; Collusion; Competition; Congestion; Manipulation of Beliefs; Rating Systems; Optimization;
    All these keywords.

    JEL classification:

    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games

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