A Delegation-Based Theory of Expertise
Publication
, Other
Ambrus, A; Baranovskyi, V; Kolb, A
Published in: American Economic Journal: Microeconomics
November 1, 2021
We investigate information aggregation and competition in a delegation framework. An uninformed principal is unable to perform a task herself and must choose between one of two biased and imperfectly informed experts. In the focal equilibrium, experts exaggerate their biases, anticipating an ideological winner's curse. We show that having a second expert can benefit the principal, even when equally or more biased than the first expert. The principal can benefit from commitment to an "element of surprise" and prefers experts with equal rather than opposite biases.
Duke Scholars
Published In
American Economic Journal: Microeconomics
ISSN
1945-7669
Publication Date
November 1, 2021
Volume
13
Issue
4
Start / End Page
373 / 419
Article type
Other
Publisher
American Economic Association
Related Subject Headings
- 3803 Economic theory
- 3801 Applied economics
- 3502 Banking, finance and investment
- 14 Economics
Citation
APA
Chicago
ICMJE
MLA
NLM
Ambrus, A., Baranovskyi, V., & Kolb, A. (2021). A Delegation-Based Theory of Expertise. American Economic Journal: Microeconomics. American Economic Association.
Ambrus, Attila, Volodymyr Baranovskyi, and Aaron Kolb. “A Delegation-Based Theory of Expertise.” American Economic Journal: Microeconomics. American Economic Association, November 1, 2021.
Ambrus A, Baranovskyi V, Kolb A. A Delegation-Based Theory of Expertise. Vol. 13, American Economic Journal: Microeconomics. American Economic Association; 2021. p. 373–419.
Ambrus, Attila, et al. “A Delegation-Based Theory of Expertise.” American Economic Journal: Microeconomics, vol. 13, no. 4, American Economic Association, 1 Nov. 2021, pp. 373–419.
Ambrus A, Baranovskyi V, Kolb A. A Delegation-Based Theory of Expertise. American Economic Journal: Microeconomics. American Economic Association; 2021. p. 373–419.
Published In
American Economic Journal: Microeconomics
ISSN
1945-7669
Publication Date
November 1, 2021
Volume
13
Issue
4
Start / End Page
373 / 419
Article type
Other
Publisher
American Economic Association
Related Subject Headings
- 3803 Economic theory
- 3801 Applied economics
- 3502 Banking, finance and investment
- 14 Economics