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Cross-verification and Persuasive Cheap Talk

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  • Alp Atakan
  • Mehmet Ekmekci
  • Ludovic Renou

Abstract

We study a cheap-talk game where two experts first choose what information to acquire and then offer advice to a decision-maker whose actions affect the welfare of all. The experts cannot commit to reporting strategies. Yet, we show that the decision-maker's ability to cross-verify the experts' advice acts as a commitment device for the experts. We prove the existence of an equilibrium, where an expert's equilibrium payoff is equal to what he would obtain if he could commit to truthfully revealing his information.

Suggested Citation

  • Alp Atakan & Mehmet Ekmekci & Ludovic Renou, 2021. "Cross-verification and Persuasive Cheap Talk," Papers 2102.13562, arXiv.org, revised Apr 2021.
    • Handle: RePEc:arx:papers:2102.13562
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    References listed on IDEAS

    as
    1. Au, Pak Hung & Kawai, Keiichi, 2020. "Competitive information disclosure by multiple senders," Games and Economic Behavior, Elsevier, vol. 119(C), pages 56-78.
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