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I'm a beginner in mechanism design. I learned that 'a (direct) mechanism is truthful if an agent truthfully reveals his/her type.' Then, how can we define a truthful indirect mechanism? I'm not sure how to do that because the information revealed in an indirect mechanism can be any message, which is in general different from the underlying type.

Thanks!

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    $\begingroup$ What is an indirect mechanism? And what makes you think one can define truthful such mechanisms? $\endgroup$
    – Michael Greinecker
    Jul 4, 2022 at 13:44
  • $\begingroup$ Not sure if it is indirect, when players are directly reporting their true type. Indirect would be e.g. in the english auction, where agents keep bidding until they reach their valuation or the auction ends before and they win with a lower bid. Regards, Ergie $\endgroup$
    – Ergie Sergie
    Jul 8, 2022 at 10:37

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