Skip to main content
eScholarship
Open Access Publications from the University of California

Mechanism Design with Information Acquisition: Efficiency and Full Surplus Extraction

Abstract

Consider a mechanism design setting in which agents acquire costly information about an unknown, payoff-relevant state of nature. Information gathering is covert and the agents' information is correlated. We investigate conditions under which (i) efficiency and (ii) full surplus extraction are Bayesian incentive compatible and interim individually rational.

Main Content
For improved accessibility of PDF content, download the file to your device.
Current View