Robust Inference in Communication Games with Partial Provability

Abstract

We study sequential message-sending games with an uninformed decision maker and multiple self-interested informed agents in which the ability to prove claims is limited. We give necessary and sufficient conditions for the existence of robust inference rules-that is, rules which lead to full, correct inferences even if the decision maker has very little information about speakers′ preferences or strategies. Surprisingly little provability is needed when the decision maker only knows that the speakers have conflicting preferences over his actions. Conflicting preferences guarantees that someone will have an incentive to "correct" any mistaken inference. Journal of Economic Literature Classification Numbers: C72, D82.