Adapting cursed equilibrium to a beauty contest game, we study the impact of information policies when agents underinfer from equilibrium statistics. To model information acquisition with incorrect use, we propose a subjective envelope condition: agents correctly anticipate their actions but incorrectly deem them optimal.

We analyze screening with frame-dependent valuations. The optimal extensive form has a simple three-stage structure, using changes of framing (high-low-high) to induce dynamic inconsistency and thereby relax incentive compatibility constraints.