We investigate a cheap talk model in which decision maker and an expert are both privately informed. Both players observe independent signals that jointly determine ideal actions for the players, can send message to expert, is followed by of then action maker. In equilibrium, strategy not monotonic, revelation concerning her information does necessarily result welfare improvement players. parti...

This paper addresses the problem of testing simple hypotheses about the mean of a bivariate normal distribution with identity covariance matrix against restricted alternatives. The LRTs and their power functions for such types of hypotheses are derived. Furthermore, through some elementary calculus, it is shown that the power function of the LRT satisfies certain monotonicity and symmetry p...