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Contribution Details

Type Working Paper
Scope Discipline-based scholarship
Title On the equivalence of Bayesian and dominant strategy implementation: the case of non-linear utilities
Organization Unit
Authors
  • Alexey Kushnir
  • Liu Shuo
Language
  • English
Institution University of Zurich
Series Name Working paper series / Department of Economics
Number 212
ISSN 1664-7041
Number of Pages 22
Date 2015
Abstract Text We extend the equivalence between Bayesian and dominant strategy implementation established by Gershkov et al. (Econometrica, 2013) to environments with non-linear utilities satisfying the average single-crossing property and the convex-valued assumption. The new equivalence result produces novel implications to the literature on the principal-agent problem with allocative externalities, environmental mechanism design, and public good provision.
Official URL http://www.econ.uzh.ch/static/wp/econwp212.pdf
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Keywords Bayesian implementation, dominant strategy implementation, mechanism design, non-linear utilities, single-crossing, Nutzenfunktion, Nichtlineare Funktionalanalysis, Bayes-Verfahren, Stochastische Dominanz, Mechanismus-Design-Theorie, Agency-Theorie