Article ID Journal Published Year Pages File Type
5072131 Games and Economic Behavior 2011 13 Pages PDF
Abstract
► We study a mechanism design problem where the outside option is a default game. ► Players can reject the mechanism and play the default game non-cooperatively. ► We show that some allocation rules are implemented only when some players reject. ► Rejection is useful since it enables a player to signal private information. ► We establish a condition under which rejection is not required for implementation.
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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