Making Information More Valuable

• Tác giả: Mark Whitmeyer
• Ngôn ngữ: eng
• Ký hiệu phân loại: 016 Bibliographies and catalogs of works on specific subjects or in specific disciplines
• Thông tin xuất bản: 2022
• Bộ sưu tập: Metadata
• ID: 195893

Tóm tắt

Comment: Formerly titled "Flexibility and Information.''We study what changes to an agent's decision problem increase her value for information. We prove that information becomes more valuable if and only if the agent's reduced-form payoff in her belief becomes more convex. When the transformation corresponds to the addition of an action, the requisite increase in convexity occurs if and only if a simple geometric condition holds, which extends in a natural way to the addition of multiple actions. We apply these findings to two scenarios: a monopolistic screening problem in which the good is information and delegation with information acquisition.