Not Only What but Also When: A Theory of Dynamic Voluntary Disclosure

Not Only What But also When A Theory of Dynamic Voluntary Disclosure PRELIMINARY AND INCOMPLETE

Not Only What But also When: A Theory of Dynamic Voluntary Disclosure

We examine a dynamic model of voluntary disclosure of multiple pieces of private information. In our model, a manager of a firm who may learn multiple signals over time interacts with a competitive capital market and maximizes payoffs that increase in both period prices. We show (perhaps surprisingly) that in equilibrium later disclosures are interpreted more favorably even though the time the ...

Online Appendix (a Threshold Equilibrium): Not Only What But also When: A Theory of Dynamic Voluntary Disclosure

This Appendix is organized as follows. First, in Section A.1, we discuss a variant of a static disclosure model that provides a numerical result and analytical insights we later use in the proof of Proposition 1. This variant of the static model may also be of independent interest. Then, in Section A.2 we provide a proof of the Proposition. The proof starts with noticing properties of the equil...

Not Only What, but Also How Matters Introducing Procedural Utility: Not Only What, but Also How Matters

People not only care about outcomes, they also value the procedures which lead to the outcomes. Procedural utility is a potentially important source of human well-being. This paper aims at introducing the concept of procedural utility into economics, and argues that it should be incorporated more widely into economic theory and empirical research. Three building blocks of a concept of procedura...

Mechanisms of Change: Exploring not only When and What, but also How Declarative Memory Develops

Age-related changes in representational flexibility are a characteristic feature of declarative memory development. The authors suggest that a qualitative shift in the nature of infants’ memory representations accounts for increasing memory flexibility with age. We will argue that a comprehensive theory of declarative memory development must (1) account for the effect of experience on flexibili...