Showing 1 - 10 of 1,363
We present a simple model of elections in which experts with special interests endorse candidates and endorsements are observed by the voters. We show that the equilibrium election outcome is biased towards the experts' interests even though voters know the distribution of expert interests and...
Persistent link: https://www.econbiz.de/10008664538
Can vanity do any good? It may seem obvious to answer this question in the negative, as economists have shown how reputational concerns lead agents e.g. to ignore valuable information, to herd, and to become overly risk averse. We explore how proud agents may be a social blessing. An agent may...
Persistent link: https://www.econbiz.de/10011327825
We consider a two period model in which an incumbent political party chooses the level of a current policy variable unilaterally, but faces competition from a political opponent in the future. Both parties care about voters payoffs, but they have different beliefs about how policy choices will...
Persistent link: https://www.econbiz.de/10010366185
We study experimentally the effectiveness of communication in common value committees exhibiting publicly known heterogeneous biases. We test models assuming respectively self-interested and strategic-, joint payoff-maximizing- and cognitively heterogeneous agents. These predict varying degrees...
Persistent link: https://www.econbiz.de/10011444227
An organization must decide which proposals to fund. In evaluating the proposals, the organization may rely on those applying for funding to produce evidence about the merits of their own proposals. We consider the role of a capacity constraint preventing the organization from funding all...
Persistent link: https://www.econbiz.de/10011295651
We present a two-stage coordination game in which early choices of experts with special interests are observed by followers who move in the second stage. We show that the equilibrium outcome is biased toward the experts' interests even though followers know the distribution of expert interests...
Persistent link: https://www.econbiz.de/10013089355
It is impossible, in general, to extend an asymmetric two-player game to networks, because there must be two populations, the row one and the column one, but we do not know how to define inner-population interactions. This is not the case for Matching Pennies, as we can interpret the row player...
Persistent link: https://www.econbiz.de/10013068518
We study private communication in social networks prior to a majority vote on two alternative policies. Some (or all) agents receive a private imperfect signal about which policy is correct. They can, but need not, recommend a policy to their neighbors in the social network prior to the vote. We...
Persistent link: https://www.econbiz.de/10012963940
This paper aims to build an algorithm of network dynamics with decision-making under incomplete information. Accordingly, it tries to identify if a social planner reduces the influence of individual biases, such as confirmation bias or assimilation bias on agents actions, and solve a...
Persistent link: https://www.econbiz.de/10012835681
I study information diffusion in a social network where a third party can control the precision of information as well as who initially receives information. Applications include spreading of news by digital media outlets, lobbyists persuading senators to contribute to a project and others. A...
Persistent link: https://www.econbiz.de/10012870478