Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/92537 
Year of Publication: 
1985
Series/Report no.: 
Diskussionsbeiträge - Serie C No. 8
Publisher: 
Universität Konstanz, Fakultät für Wirtschaftswissenschaften und Statistik, Konstanz
Abstract: 
This paper examines necessary conditions for a demand for new information to exist. In this one-period model, investors are homogeneous, have logarithmic utility, and must decide on information acquisition before trading starts, and without knowing what other investors will do. We examine the decision problems under scenarios defined by whether information is costless or costly to acquire, whether aggregate consumption is endogeneous or exogeneously given, and whether investors can or cannot costlessly cooperate. In all cases a demand for new information exists as all investors decide to acquire provided the price is below endogeneously determined bounds.
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.