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Quasi Ex-Post Equilibrium in Competing Mechanisms

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  • Seungjin Han
Abstract
This paper studies competing mechanism games with no restrictions on the complexity of mechanisms where principals can announce mechanisms and agents select and communicate with at most one principal. It proposes the solution concept of robust quasi ex-post equilibrium in which agents' strategies of communicating with a non-deviating principal is ex-post optimal. Two simple revelation principles are established. The Strong Revelation Principle allows us to check if an equilibrium allocation in a specific competition model is a robust quasi ex-post equilibrium allocation. The Weak Revelation Principle leads to the characterization of the set of robust quasi ex-post equilibrium allocations in terms of model primitives.

Suggested Citation

  • Seungjin Han, 2020. "Quasi Ex-Post Equilibrium in Competing Mechanisms," Department of Economics Working Papers 2020-11, McMaster University.
    • Handle: RePEc:mcm:deptwp:2020-11
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    File URL: http://socialsciences.mcmaster.ca/econ/rsrch/papers/archive/2020-11.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    ex-post incentive compatibility; competing mechanisms; quasi ex-post equilibrium; Revelation Principles;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D47 - Microeconomics - - Market Structure, Pricing, and Design - - - Market Design
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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