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Treading a Â…fine line: (Im)possibilities for Nash implementation with partially-honest individuals

Author

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  • Michele Lombardi

    (Adam Smith Business School, University of Glasgow)

  • Naoki Yoshihara

    (Department of Economics, University of Massachusetts Amherst)

Abstract

This paper investigates the robustness of Dutta and Sen’s (2012) Theorem 1 to weaker notions of truth-telling. An individual honesty standard is modeled as a subgroup of the society, including the individual herself, for which she feels truth-telling concerns. An individual i is honest when she states her true preferences as well as rankings (not necessarily complete) of outcomes that are consistent with the true preferences of individuals in her honesty standard. The paper o¤ers a necessary condition for Nash implementation, called partial-honesty monotonicity, and shows that in an independent domain of preferences that condition is equivalent to Maskin monotonicity.

Suggested Citation

  • Michele Lombardi & Naoki Yoshihara, 2017. "Treading a Â…fine line: (Im)possibilities for Nash implementation with partially-honest individuals," Working Papers SDES-2017-14, Kochi University of Technology, School of Economics and Management, revised Aug 2017.
  • Handle: RePEc:kch:wpaper:sdes-2017-14
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    File URL: http://www.souken.kochi-tech.ac.jp/seido/wp/SDES-2017-14.pdf
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    References listed on IDEAS

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    4. Michele Lombardi & Naoki Yoshihara, 2020. "Partially-honest Nash implementation: a full characterization," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 70(3), pages 871-904, October.
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    More about this item

    Keywords

    Nash implementation; Partial-honesty; Non-connected honesty standards; Independent domain;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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