Savitar Sundaresan

Savitar Sundaresan

Institution

Imperial College London

PhD Year

2016

Email

s.sundaresan@imperial.ac.uk

FTG Membership

Member

Website

https://www.savitars.com/

Featured Work

Mar 6, 2026

Alessandro Pavan, Savitar Sundaresan, Xavier Vives | Working Paper No. 00204-00

(In)efficiency in Information Acquisition and Aggregation through Prices

We study markets in which traders acquire private information before submitting their schedules. We characterize conditions under which traders over-invest (respectively, under-invest) in information and trade excessively (respectively, insufficiently) on their private signals. These inefficiencies arise from a novel interaction between learning and pecuniary externalities. We show that, generically, no policy based solely on equilibrium

prices and individual trade volumes can simultaneously implement efficiency in information...