Markets for Rhetorical Ability
We study markets for rhetorical services, which improve the purchaser's ability to make compelling arguments to a third party. An agency privately sells rhetorical services to a sender, the purchase of which plays a "signal-jamming" role by secretly altering the distribution of a signal observed by a receiver. The receiver's beliefs about purchase decisions therefore influence demand for rhetorical services, which in turn shapes profit-maximizing behavior and the welfare of both the sender and receiver. We use our framework to analyze optimal pricing, the effects of competition, and how regulation changes market outcomes.