Implementing the "Wisdom of the crowd

Ilan Kremer, Yishay Mansour, Motty Perry

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

13 Scopus citations

Abstract

We study a novel mechanism design model in which agents arrive sequentially and each in turn chooses one action from a set of actions with unknown rewards. The information revealed by the principal affects the incentives of an agent to explore and generate new information. We characterize the optimal disclosure policy of a planner whose goal is to maximizes social welfare. One interpretation for our result is the implementation of what is known as the 'wisdom of the crowd'. This topic has become more relevant with the rapid adaptation of the Internet over the past decade.

Original languageEnglish
Title of host publicationEC 2013 - Proceedings of the 14th ACM Conference on Electronic Commerce
PublisherAssociation for Computing Machinery
Pages605
Number of pages1
ISBN (Print)9781450319621
DOIs
StatePublished - 2013
Event14th ACM Conference on Electronic Commerce, EC 2013 - Philadelphia, PA, United States
Duration: 16 Jun 201320 Jun 2013

Publication series

NameProceedings of the ACM Conference on Electronic Commerce

Conference

Conference14th ACM Conference on Electronic Commerce, EC 2013
Country/TerritoryUnited States
CityPhiladelphia, PA
Period16/06/1320/06/13

Keywords

  • Game theory
  • Multi-arm bandit

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