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Resisting Persuasion

Author

Listed:
  • Elias Tsakas
  • Nikolas Tsakas
  • Dimitrios Xefteris

Abstract

Agents that are subject to persuasion attempts often employ strategies that allow them to effectively resist. In the context of Bayesian Persuasion (Kamenica and Gentzkow, 2011), we argue that if appropriate action-contingent payoff adjustments are available to the subject of persuasion, then payoff improvements are achieved. Remarkably, payoff-improving resistance strategies need not involve adding benefits to any action. We characterize the optimal resistance strategy when only costly payoff adjustments are allowed and we show that it induces a perfectly informative signal and a substantial increase in the agent’s welfare.

Suggested Citation

  • Elias Tsakas & Nikolas Tsakas & Dimitrios Xefteris, 2017. "Resisting Persuasion," University of Cyprus Working Papers in Economics 07-2017, University of Cyprus Department of Economics.
  • Handle: RePEc:ucy:cypeua:07-2017
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    File URL: http://papers.econ.ucy.ac.cy/RePEc/papers/07-17.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Bayesian persuasion; Resistance; Uncertainty; Public commitment;

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • 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
    • K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
    • M38 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Government Policy and Regulation

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