Dynamic Information Design under Constrained Communication Rules

نویسندگان

چکیده

An information designer wishes to persuade agents invest in a project of unknown quality. To do so, she must induce investment and collect feedback from these investments. Motivated by data regulations simplicity concerns, our faces communication constraints. These constraints hinder her without benefiting the agents: they impose an upper bound on induced belief spread, limiting persuasion. Nevertheless, two-rating systems (direct recommendations) are optimal design when experimentation is needed generate approximate designer’s first-best payoff for specific structures. When has altruistic motives, constrained rules significantly decrease welfare. (JEL D64, D82, D83)

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ژورنال

عنوان ژورنال: American Economic Journal: Microeconomics

سال: 2023

ISSN: ['1945-7669', '1945-7685']

DOI: https://doi.org/10.1257/mic.20200356