Transfer Payments and Private Information

2023 ◽  
pp. 359-378
Author(s):  
Richard W. Tresch
Keyword(s):  
Private Information ◽  
Transfer Payments

Discretion Rather than Rules: Choice of Instruments to Control Bureaucratic Policy Making

2009 ◽  
Vol 17 (1) ◽  
pp. 25-44 ◽  
Author(s):  
Sean Gailmard
Keyword(s):  
Private Information ◽  
Policy Making ◽  
Incentive Scheme ◽  
Policy Space ◽  
Trade Off ◽  
Transfer Payments ◽  
Policy Choices ◽  
Optimal Action ◽  
Choice Of Instruments ◽  
Levers Of Control

In this paper I investigate the trade-off a legislature faces in the choice of instruments to ensure accountability by bureaucrats with private information. The legislature can either design a state-contingent incentive scheme or “menu law” to elicit the bureau's information or it can simply limit the set of choices open to the bureaucrat and let it choose as it wishes (an action restriction). I show that the optimal action restriction is simply a connected interval of the policy space. However, this class of instruments is not optimal without some sort of limitation on the set of levers of control available to the legislature. I then analyze one such limitation salient in politics, the legislative principal's inability to commit to honor a schedule of (state contingent) policy choices and transfer payments for a menu law. In this case the optimal action restriction outperforms (in terms of the legislature's welfare) the best available menu law.

Transfer payments and private information

2002 ◽  
pp. 631-657
Author(s):  
Richard W. Tresch
Keyword(s):  
Private Information ◽  
Transfer Payments

Transfer Payments and Private Information

2015 ◽  
pp. 335-348
Author(s):  
Richard W. Tresch
Keyword(s):  
Private Information ◽  
Transfer Payments

Stock Price Reaction to Public and Private Information

CFA Digest ◽  
2007 ◽  
Vol 37 (2) ◽  
pp. 45-46
Author(s):  
Richard D. Long
Keyword(s):  
Private Information ◽  
Stock Price ◽  
Public And Private ◽  
Price Reaction ◽  
Stock Price Reaction

Disclosing private information in supply chain under multi-period newsvendor scenario

2014 ◽  
Author(s):  
Jin Zhao ◽  
Jiping Wang ◽  
Jianjun Zhang
Keyword(s):  
Supply Chain ◽  
Private Information
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