Article ID Journal Published Year Pages File Type
956834 Journal of Economic Theory 2015 51 Pages PDF
Abstract

A group of strategic agents with diverse private information and interdependent preferences has to take a continuous collective decision. I study the design of the decision-making procedure from the viewpoint of a utilitarian social planner. For uniformly distributed information, the implementation of the average report as decision dominates the implementation of the median report when the set of admissible reports is optimally designed. This is true for any number of agents and for any degree of interdependence. The result extends to a general class of distributions when the number of agents is large.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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