Li, Ming (2010) Advice from Multiple Experts: A Comparison of Simultaneous, Sequential, and Hierarchical Communication. The B.E. Journal of Theoretical Economics, 10 (1). ISSN 1935-1704
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Official URL: http://dx.doi.org/10.2202/1935-1704.1490
Abstract
In this paper, I analyze an example in which two perfectly informed experts advise a decision maker. Each expert has private information about her own bias. I show that consulting two experts is better than consulting just one. I compare the efficiency of information transmission between simultaneous, sequential, and hierarchical forms of communication. I show that simultaneous communication achieves the highest efficiency, followed by sequential and hierarchical communication. However, hierarchical communication, in which a second expert chooses whether to block the first expert's message, achieves a moderate level of efficiency, even though the decision maker receives only one message. Finally, there are preference settings in which both sequential and hierarchical communication are superior to simultaneous communication.
Divisions: | Concordia University > Faculty of Arts and Science > Economics |
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Item Type: | Article |
Refereed: | Yes |
Authors: | Li, Ming |
Journal or Publication: | The B.E. Journal of Theoretical Economics |
Date: | April 2010 |
Digital Object Identifier (DOI): | 10.2202/1935-1704.1490 |
Keywords: | expert opinions, strategic information transmission, multiple experts |
ID Code: | 978317 |
Deposited By: | DAVID MACAULAY |
Deposited On: | 04 Mar 2014 16:45 |
Last Modified: | 18 Jan 2018 17:46 |
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