Financial prices and information acquisition in large Cournot markets

• 成果类型: Article
• 署名作者: Rondina, Giacomo; Shim, Myungkyu
• 署名单位: University of Colorado System; University of Colorado Boulder; Shanghai University of Finance & Economics
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2014.12.004
• 发表日期: 2015
• 页码: 769-786
• 关键词: Dispersed information; information acquisition; Cournot market; Grossman-Stiglitz

摘要

In the context of a large Cournot market with dispersedly informed firms, we show that while output decisions are strategic substitutes, private information acquisition decisions can be strategic complements. The reversal of incentives operates through the informational role played by the price of a financial asset whose payoff depends on firms' output decisions. Our results rely on a novel mechanism whereby, holding fixed the private information of financial traders, when firms become more privately informed the financial asset price becomes less informative. (C) 2015 Elsevier Inc. All rights reserved.