Single-Crossing Differences in Convex Environments

• 成果类型: Article
• 署名作者: Kartik, Navin; Lee, SangMok; Rappoport, Daniel
• 署名单位: Columbia University; Washington University (WUSTL); University of Chicago
• 刊物名称: REVIEW OF ECONOMIC STUDIES
• ISSN/ISSBN: 0034-6527
• DOI: 10.1093/restud/rdad103
• 发表日期: 2023
• 页码: 2981-3012
• 关键词: lotteries; implementation; strategy; CHOICE

摘要

An agent's preferences depend on an ordered parameter or type. We characterize the set of utility functions with single-crossing differences (SCD) in convex environments. These include preferences over lotteries, both in expected utility and rank-dependent utility frameworks, and preferences over bundles of goods and over consumption streams. Our notion of SCD does not presume an order on the choice space. This unordered SCD is necessary and sufficient for interval choice comparative statics. We present applications to cheap talk, observational learning, and collective choice, showing how convex environments arise in these problems and how SCD/interval choice are useful. Methodologically, our main characterization stems from a result on linear aggregations of single-crossing functions.