The Power of Referential Advice
Bibliographic Data
| ID | 10171872 |
|---|---|
| Authors | Steven Callander (0000-0003-2510-0414, Stanford University), Nicolas Lambert (0000-0003-4976-6560, Massachusetts Institute of Technology), Nicolas S Lambert, Niko Matouschek (0000-0001-7335-5783) |
| Year | 2021 |
| Volume | 129 |
| Issue | 11 |
| Pages | 3073-3140 |
| Publication date | 2021-06-11 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Journal of Political Economy (JOURNAL) |
| Journal identifiers | ISSN: 0022-3808 • E-ISSN: 1537-534X |
| Publisher | University of Chicago Press (PUBLISHER • US) |
| DOI | 10.1086/715850 |
| OpenAlex | W3172394208 |
| Language | EN |
| Citations received | 1 |
| References cited | 19 |
Expert advice often extends beyond a simple recommendation, including information about alternative options. To explore the role of this referential advice, we enrich the expert’s informational advantage in a canonical model of communication with hard information. We show that when constructed just right, referential advice dissuades the decision maker from choosing options other than the recommendation, thereby making the recommendation itself more persuasive. We identify an equilibrium in which, with probability 1, the expert is strictly better off providing referential advice than she is in any equilibrium in which she provides a recommendation alone
Advice (programming · Cheap talk · Decision maker · Economics · Epistemology · Management science · Mathematical economics · Simple (philosophy · Auction Theory and Applications · Computer Science · Experimental Behavioral Economics Studies · Game Theory and Applications
| Unique citing works | 1 |
|---|---|
| Citations per year | 0,33 |
| Citation span | 2023 - 2023 (1) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 1 |