Constrained Communication with Multiple Agents: Anonymity, Equal Treatment, and Public Good Provision
This paper studies information transmission subject to anonymity requirements and communication in public good provision without transfers. The structure of informative equilibria under anonymity or in public good provision can differ substantially from that of direct one-to-one communication, and in particular we distinguish i) informational distortion caused by the intrinsic divergence of preferences between the decision maker and each agent; and ii) informational distortion caused by the decision maker's weak response to each agent's message due to the equal treatment of all agents that results from anonymity or the nature of public goods. We examine the interaction between these two types of distortion and demonstrate that they may partly offset one another. Information transmission and welfare can be enhanced by introducing the second type of distortion through anonymity when the first type of distortion is severe. In public good provision where the intrinsic preference divergence between the utilitarian decision maker and each agent is absent, as the number of agents becomes larger the quality of communication diminishes and informative equilibria converge to the one that can be played by letting each agent report a binary message (e.g. "yes" or "no") even if their preferences and the decision are continuous.
|Date of creation:||Feb 2007|
|Date of revision:|
|Contact details of provider:|| Postal: 31 Buccleuch Place, EH8 9JT, Edinburgh|
Web page: http://www.econ.ed.ac.uk/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Mark Bagnoli & Barton L. Lipman, 1989. "Provision of Public Goods: Fully Implementing the Core through Private Contributions," Review of Economic Studies, Oxford University Press, vol. 56(4), pages 583-601.
- Alonso, Ricardo & Dessein, Wouter & Matouschek, Niko, 2006.
"When Does Coordination Require Centralization?,"
CEPR Discussion Papers
5802, C.E.P.R. Discussion Papers.
- Forges, Francoise M, 1986.
"An Approach to Communication Equilibria,"
Econometric Society, vol. 54(6), pages 1375-85, November.
- F. Forges, 2010. "An Approach to Communication Equilibrium," Levine's Working Paper Archive 516, David K. Levine.
- FORGES, Françoise, . "An approach to communication equilibria," CORE Discussion Papers RP 721, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Forges, F., 1984. "An approach to communication equilibria," CORE Discussion Papers 1984035, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Wolinsky, Asher, 2002.
"Eliciting information from multiple experts,"
Games and Economic Behavior,
Elsevier, vol. 41(1), pages 141-160, October.
- Marco Battaglini, 2000.
"Multiple Referrals and Multidimensional Cheap Talk,"
Econometric Society World Congress 2000 Contributed Papers
1557, Econometric Society.
- Marco Battaglini, 2002. "Multiple Referrals and Multidimensional Cheap Talk," Econometrica, Econometric Society, vol. 70(4), pages 1379-1401, July.
- Marco Battaglini, 1999. "Multiple Referrals and Multidimensional Cheap Talk," Discussion Papers 1295, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Austen-Smith David, 1993. "Interested Experts and Policy Advice: Multiple Referrals under Open Rule," Games and Economic Behavior, Elsevier, vol. 5(1), pages 3-43, January.
- Mitusch, Kay & Strausz, Roland, 2004.
"Mediation in Situations of Conflict and Limited Commitment,"
Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems
24, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
- Kay Mitusch & Roland Strausz, 2005. "Mediation in Situations of Conflict and Limited Commitment," Journal of Law, Economics and Organization, Oxford University Press, vol. 21(2), pages 467-500, October.
- Roland Strausz & Kay Mitusch, . "Mediation in Situations of Conflict and Limited Commitment," Papers 023, Departmental Working Papers.
- Roger B. Myerson, 1984.
"Multistage Games with Communication,"
590, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Krishna, V. & Morgan, J., 1999.
"A Model of Expertise,"
206, Princeton, Woodrow Wilson School - Public and International Affairs.
- Nahum D. Melumad & Toshiyuki Shibano, 1991. "Communication in Settings with No. Transfers," RAND Journal of Economics, The RAND Corporation, vol. 22(2), pages 173-198, Summer.
- Baliga, S. & Corchon, L.C. & Sjostrom, T., 1995.
"The Theory of Implemetation when the Planner is a PLayer,"
Cambridge Working Papers in Economics
9512, Faculty of Economics, University of Cambridge.
- Baliga, Sandeep & Corchon, Luis C. & Sjostrom, Tomas, 1997. "The Theory of Implementation When the Planner Is a Player," Journal of Economic Theory, Elsevier, vol. 77(1), pages 15-33, November.
- Luis Corchón & Sandeep Baliga & Tomas Sjöström, 1995. "The Theory Of Implementation When The Planner Is A Player," Working Papers. Serie AD 1995-14, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
- In-Uck Park, 2005. "Cheap-Talk Referrals of Differentiated Experts in Repeated Relationships," RAND Journal of Economics, The RAND Corporation, vol. 36(2), pages 391-411, Summer.
- Helmut Bester & Roland Strausz, . "Imperfect Commitment and the Revelation Principle," Papers 004, Departmental Working Papers.
When requesting a correction, please mention this item's handle: RePEc:edn:esedps:166. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gina Reddie)
If references are entirely missing, you can add them using this form.