EXTENSIVE FORM IMPLEMENTATION IN INCOMPLETE INFORMATION ENVIRONMENTS

We study the implementation of social choice rules in incomplete infor mation environments. A sufficiency condition called posterior reversal is given for extensive form implementation. The condition has a natur al interpretation in signaling terms: Consistent posterior distributio ns under truth-telling are different from consistent posteriors under deception. This variation in the distribution over player types leads to variation in the distribution over actions and outcomes (comparing truth-telling and deception). We exploit this feature to implement soc ial choice rules. (C) 1998 Academic Press.