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【Theory webinar】Social Connectedness and Information Markets


  • 研討會日期 : 2023-03-01
  • 時間 : 09:00
  • 主講人 : Professor Rachel Kranton
  • 地點 : Online
  • 演講者簡介 : Professor Rachel Kranton received her Ph.D. in Economics from the University of California, Berkeley in 1993. She is currently a James B. Duke Professor of Economics at Duke University. Her research interests are microeconomics, economics of networks, development economics, and behavioral economics.
  • 演講摘要 : This paper investigates information quality in a simple model of socially-connected information markets. Suppliers' payoffs derive from the fraction of consumers who see their stories. Consumers prefer to share and act only on high-quality information. Quality is endogenous and highest when social connectedness is neither too high nor too low. In highly-connected markets, low-quality stories are widely seen, giving suppliers little incentive to invest in quality. Increasing the volume of misinformation and increasing consumers' cost of tuning in to suppliers' broadcasts can each increase equilibrium information quality.