Optimal information disclosure: a linear programming approach

Anton Kolotilin ()

Theoretical Economics, 2018, vol. 13, issue 2

Abstract: An uninformed sender designs a mechanism that discloses information about her type to a privately informed receiver, who then decides whether to act. I impose a single-crossing assumption, so that the receiver with a higher type is more willing to act. Using a linear programming approach, I characterize optimal information disclosure and provide conditions under which full and no revelation are optimal. Assuming further that the sender's utility depends only on the sender's expected type, I provide conditions under which interval revelation is optimal. Finally, I show that the expected utilities are not monotonic in the precision of the receiver's private information.

Keywords: Bayesian persuasion; information design; information disclosure; informed receiver (search for similar items in EconPapers)
JEL-codes: C72 D82 D83 (search for similar items in EconPapers)
Date: 2018-05-29
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21) Track citations by RSS feed

Downloads: (external link)
http://econtheory.org/ojs/index.php/te/article/viewFile/20180607/20888/618 (application/pdf)

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:the:publsh:1805

Access Statistics for this article

Theoretical Economics is currently edited by Simon Board, Federico Echenique, Thomas Mariotti, Florian Scheuer, Ran Spiegler

More articles in Theoretical Economics from Econometric Society
Bibliographic data for series maintained by Martin J. Osborne ().