COWLES FOUNDATION FOR RESEARCH IN
ECONOMICS Box 208281
COWLES FOUNDATION DISCUSSION PAPER NO. 1203 Cheap Talk and Co-ordination with Payoff Uncertainty Sandeep Baliga and Stephen Morris December 1998 Two players seek to co-ordinate their behavior in an incomplete information setting. We show that if each player's preferences over his opponent's action is independent of his own action or type, then cheap talk cannot expand the set of equilibrium outcomes. |
