Guo, Yingni; Shmaya, Eran - In: Theoretical economics : TE ; an open access journal in … 16 (2021) 2, pp. 477-506
We consider a platform which provides probabilistic forecasts to a customer using some algorithm. We introduce a concept of miscalibration, which measures the discrepancy between the forecast and the truth. We characterize the platform's optimal equilibrium when it incurs some cost for...