Erlanson, Albin and Kleiner, Andreas (2019) A note on optimal allocation with costly verification. Journal of Mathematical Economics, 84. pp. 56-62. DOI https://doi.org/10.1016/j.jmateco.2019.06.002
Erlanson, Albin and Kleiner, Andreas (2019) A note on optimal allocation with costly verification. Journal of Mathematical Economics, 84. pp. 56-62. DOI https://doi.org/10.1016/j.jmateco.2019.06.002
Erlanson, Albin and Kleiner, Andreas (2019) A note on optimal allocation with costly verification. Journal of Mathematical Economics, 84. pp. 56-62. DOI https://doi.org/10.1016/j.jmateco.2019.06.002
Abstract
We revisit the problem of a principal allocating an indivisible good with costly verification, as it was formulated and analyzed by Ben-Porath et al. (2014). We establish, in this setting, a general equivalence between Bayesian and ex-post incentive compatible mechanisms. We also provide a simple proof showing that the optimal mechanism is a threshold mechanism.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | Optimal mechanisms; Costly verification; BIC and EPIC equivalence |
| Divisions: | Faculty of Social Sciences Faculty of Social Sciences > Economics, Department of |
| SWORD Depositor: | Unnamed user with email elements@essex.ac.uk |
| Depositing User: | Unnamed user with email elements@essex.ac.uk |
| Date Deposited: | 29 Jul 2019 13:01 |
| Last Modified: | 06 Jan 2022 14:02 |
| URI: | http://repository.essex.ac.uk/id/eprint/24995 |
Available files
Filename: NoteBDL2019NewFigure.pdf
Licence: Creative Commons: Attribution-Noncommercial-No Derivative Works 3.0