Full surplus extraction and within-period ex post implementation in dynamic environments
Shunya Noda
Theoretical Economics, 2019, vol. 14, issue 1
Abstract:
We study full surplus extraction and implementation in dynamic environments. We exploit intertemporal correlations of agents' types to construct within-period ex post incentive compatible mechanisms. First, we formulate one-shot environments, in which a single agent has a hidden type and the planner observes a public signal about the agent's type after a type-contingent allocation is chosen. We propose necessary and sufficient conditions for full surplus extraction (strong detectability) and for implementability of the targeted allocation rule (weak detectability) in this one-shot problem. We decompose the general dynamic problem into one-shot problems, and obtain sufficient conditions for surplus extraction and implementation.
Keywords: Dynamic mechanism design; perfect Bayesian equilibrium; revenue maximization; full surplus extraction (search for similar items in EconPapers)
JEL-codes: C73 D47 D82 D86 (search for similar items in EconPapers)
Date: 2019-01-30
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)
Downloads: (external link)
http://econtheory.org/ojs/index.php/te/article/viewFile/20190039/22768/668 (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:2226
Access Statistics for this article
Theoretical Economics is currently edited by Federico Echenique, Mira Frick, Pablo Kurlat, Juuso Toikka, Rakesh Vohra
More articles in Theoretical Economics from Econometric Society
Bibliographic data for series maintained by Martin J. Osborne ().