Robust Communication Between Parties with Nearly Independent Preferences

Fuente: arXiv
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Main Author: Barton, Alistair
Format: Preprint
Published: 2024
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author Barton, Alistair
author_facet Barton, Alistair
contents We study finite-state communication games in which the sender's preference is perturbed by random private idiosyncrasies. Persuasion is generically impossible within the class of statistically independent sender/receiver preferences -- contrary to prior research establishing persuasive equilibria when the sender's preference is precisely transparent. Nevertheless, robust persuasion may occur when the sender's preference is only slightly state-dependent/idiosyncratic. This requires approximating an `acyclic' equilibrium of the transparent preference game, generically implying that this equilibrium is also `connected' -- a generalization of partial-pooling equilibria. It is then necessary and sufficient that the sender's preference satisfy a monotonicity condition relative to the approximated equilibrium. If the sender's preference further satisfies a `semi-local' version of increasing differences, then this analysis extends to sender preferences that rank pure actions (but not mixed actions) according to a state-independent order. We apply these techniques to study (1) how ethical considerations, such as empathy for the receiver, may improve or impede comm
format Preprint
id arxiv_https___arxiv_org_abs_2403_13983
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Robust Communication Between Parties with Nearly Independent Preferences
Barton, Alistair
Theoretical Economics
91A28 (primary), 91B03 (secondary)
We study finite-state communication games in which the sender's preference is perturbed by random private idiosyncrasies. Persuasion is generically impossible within the class of statistically independent sender/receiver preferences -- contrary to prior research establishing persuasive equilibria when the sender's preference is precisely transparent. Nevertheless, robust persuasion may occur when the sender's preference is only slightly state-dependent/idiosyncratic. This requires approximating an `acyclic' equilibrium of the transparent preference game, generically implying that this equilibrium is also `connected' -- a generalization of partial-pooling equilibria. It is then necessary and sufficient that the sender's preference satisfy a monotonicity condition relative to the approximated equilibrium. If the sender's preference further satisfies a `semi-local' version of increasing differences, then this analysis extends to sender preferences that rank pure actions (but not mixed actions) according to a state-independent order. We apply these techniques to study (1) how ethical considerations, such as empathy for the receiver, may improve or impede comm
title Robust Communication Between Parties with Nearly Independent Preferences
topic Theoretical Economics
91A28 (primary), 91B03 (secondary)
url https://arxiv.org/abs/2403.13983