Individually Rational Bayesian Incentive Compatible Mechanisms

Résumé

Following d’Aspremont and Gérard-Varet (1979) the study of Bayesian incentive compatibility mechanisms has stressed the difficulties caused by the budget balance requirement, but relatively neglected the role of individual rationality constraints Using the techniques introduced by d’Aspremont, Crémer, and Gérard-Varet (2003), we survey the known results on this problem, reinterpret them and extend them. Coauthor : Claude d'Aspremont (Université Catholique de Louvain)