Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5059171 | Economics Letters | 2014 | 4 Pages |
Abstract
We study the strategic interaction between a decision maker who needs to take a binary decision but is uncertain about relevant facts and an informed expert who can send a message to the decision maker but has a preference over the decision. We show that the probability that the expert can persuade the decision maker to take the expert's preferred decision is a hump-shaped function of his costs of sending dishonest messages.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Roland Hodler, Simon Loertscher, Dominic Rohner,