The genericity of beliefs-determine-preferences models revisited

• 成果类型: Article
• 署名作者: Chen, Yi-Chun; Xiong, Siyang
• 署名单位: Rice University; National University of Singapore
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2010.12.005
• 发表日期: 2011
• 页码: 751-761
• 关键词: Mechanism design; full surplus extraction; Beliefs-determine-preferences priors; common priors

摘要

Barelli [P. Barelli, On the genericity of full surplus extraction in mechanism design, J. Econ. Theory 144 (2009) 1320-1332] defines beliefs-determine-preferences (BDP) models and argues that BDP models are nongeneric in a topological sense. In this note, we point out some difficulties in Barelli's approach. Furthermore, we follow the idea of Heifetz and Neeman [A. Heifetz, Z. Neeman, On the generic (im)possibility of full surplus extraction, Econometrica 74 (2006) 213-233] to propose a more relevant notion of BDP* model. We prove that BDP* models are generic, which is opposite to Barelli's conclusion. (C) 2010 Elsevier Inc. All rights reserved.