Delegation to a Group

We study the choice of a principal to either delegate decision group careerist experts or consult them individually and keep decision-making power. Our model predicts trade-off between information acquisition aggregation. On one hand, expected benefit from being informed is larger in case are consulted individually. Hence, acquire same amount information, depending on cost than delegation. other any acquired better aggregated delegation, which can deliberate secretly. To test model’s key predictions, we run an experiment. The results laboratory confirm predicted despite some deviations theory individual level. This paper was accepted by Yan Chen, analysis.