"We develop a model of information exchange through communication and investigate its implications for information aggregation in large societies. An underlying state determines payoffs from different actions. Agents decide which others to form a costly communication link with incurring the...

With the increasing ease with which information can be shared in social media, the issue of privacy has become central for the functioning of various online platforms. In this paper, we consider how privacy concerns affect individual choices in the context of a network formation game (where...

This paper argues that in the presence of intersectoral input-output linkages, microeconomic idiosyncratic shocks may lead to aggregate fluctuations. In particular, it shows that, as the economy becomes more disaggregated, the rate at which aggregate volatility decays is determined by the...