Nonbossy mechanisms: Mechanism design robust to secondary goals
Abstract
We study mechanism design when agents may have hidden secondary goals which will play a role when the primary utility of the outcomes is the same. We show that in such cases, a mechanism is immune to strategic manipulation if and only if it is incentive compatible with regard to primary utility -- a property we term "primary incentive compatibility" -- and nonbossy -- a well-studied property in the context of matching and allocation mechanisms. We give complete characterizations of primarily incentive-compatible and nonbossy mechanisms in various settings, including auctions with single-parameter agents and public decision settings where all agents share a common outcome. In particular, we show that in the single-item setting, a mechanism is primarily incentive compatible, individually rational, and nonbossy if and only if it is a sequential posted-price mechanism.
Fields of Study & Subjects
Auction Theory and Applications
Experimental Behavioral Economics Studies
Economic and Environmental Valuation
Publication details
- Journal / source
- Journal of Economic Theory
- Publisher
- Elsevier BV
- Volume
- 235
- Pages
- 106187–106187
- Publication date
- 9 May 2026
- Language
- EN