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Optimal use of communicaiton resources

    Olivier Gossner, Penélope Hernández, and Abraham Neyman
    Econometrica, 74: 1603-1636, 2006

     

    Abstract: We study a repeated game with asymmetric information about a dynamic state of nature. In the course of the game, the better-informed player can communicate some or all of his information to the other. Our model covers costly and/or bounded communication. We characterize the set of equilibrium payoffs and contrast these with the communication equilibrium payoffs, which by definition entail no communication costs.

    communication_resources