Information Acquisition and Strategic Disclosure in Oligopoly

Jos Jansen

Journal of Economics & Management Strategy, 2008, vol. 17, issue 1, 113-148

Abstract: I study the incentives of oligopolists to acquire and disclose information on a common demand intercept. Because firms may fail to acquire information even when they invest in information acquisition, firms can credibly conceal unfavorable news while disclosing favorable news. Firms may earn higher expected profits under such a selective disclosure regime than under the regimes where firms commit to share all or no information. In particular, this holds under both Cournot and Bertrand competition, if the firms have sufficiently flat information acquisition cost functions. For steeper cost functions Cournot duopolists prefer strategic disclosure, if their goods are sufficiently differentiated.

Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (34)

Downloads: (external link)
https://doi.org/10.1111/j.1530-9134.2008.00173.x

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:jemstr:v:17:y:2008:i:1:p:113-148

Ordering information: This journal article can be ordered from
http://www.blackwell ... ref=1058-6407&site=1

Access Statistics for this article

More articles in Journal of Economics & Management Strategy from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().