期刊名称：Discussion Papers / University of Leicester, Department of Economics
出版年度：2003
卷号：2003
出版社：Leicester
摘要：We introduce cheap talk in a dynamic investment model with information externalities. We first show how social learning adversely a ects the credibility of cheap talk messages. Next, we show how an informational cascade makes thruthtelling incentive compatible. A separating equilibrium only exists for high surplus projects. Both an investment subsidy and an investment tax can increase welfare. The more precise the sender’s information, the higher her incentives to truthfully reveal her private information.
