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Research Details
Markets for Rhetorical Ability
Abstract
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.
Type
Working Paper
Author(s)
Date Published
2018
Citations
Barron, Daniel, and Michael Powell. 2018. Markets for Rhetorical Ability.