A Characterization of Virtual Bayesian Implementation

Roberto Serrano, Rajiv Vohra
2002 Social Science Research Network  
We provide a characterization of virtual Bayesian implementation in pure strategies for environments satisfying no-total-indifference. A social choice function in such environments is virtually Bayesian implementable if and only if it satisfies incentive compatibility and a condition we term virtual monotonicity. The latter is weaker than Bayesian monotonicity -known to be necessary for Bayesian implementation. Virtual monotonicity is weak in the sense that it is generically satisfied in
more » ... satisfied in environments with at least three alternatives. This implies that in most environments virtual Bayesian implementation is as successful as it can be (incentive compatibility is the only condition needed). JEL Classification: C72, D78, D82.
doi:10.2139/ssrn.310425 fatcat:4uqp2gfugbdybed35pbdvqlrba