Whether consumers are aware of potentially adverse product effects is key to private and social incentives to disclose information
about undesirable product characteristics. In a monopoly model with a mix of aware and unaware consumers, a larger share of unaware
consumers makes information disclosure less likely to occur. Since the firm is not interested in releasing information to unaware consumers, a more precise targeting technology that allows the firm to better keep unaware consumers in the dark leads to more disclosure. A regulator may want to intervene in this market and impose mandatory disclosure rules.
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