nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2014‒06‒22
four papers chosen by
Walter Frisch
University Vienna

  1. E-lections: Voting Behavior and the Internet By Oliver Falck; Robert Gold; Stephan Heblich
  2. Social preferences in the online laboratory: a randomized experiment By Jérôme Hergueux; Nicolas Jacquemet
  3. Individual Search and Social Networks By Sanjeev Goyal; Stephanie Rosenkranz; Utz Weitzel; Vincent Buskens
  4. Trust and Manipulation in Social Networks By Manuel Förster; Ana Mauleon; Vincent J. Vannetelbosch

  1. By: Oliver Falck; Robert Gold; Stephan Heblich
    Abstract: This paper analyses the effects on voting behavior of information disseminated over the Internet. We address endogeneity in Internet availability by exploiting regional and technological peculiarities of the preexisting voice telephony network that hindered the roll-out of fixed-line infrastructure for high-speed Internet. We find negative effects of Internet availability on voter turnout, which we relate to a crowding-out of TV consumption and increased entertainment consumption. We find no evidence that the Internet systematically benefits specific parties, suggesting ideological self-segregation in online information consumption. Robustness tests, including placebo estimations from the pre-Internet period, support a causal interpretation of our results.
    Keywords: Elections, Mass Media, Internet.
    JEL: D72 L82 L86
    Date: 2014–06
    URL: http://d.repec.org/n?u=RePEc:bri:uobdis:14/642&r=ict
  2. By: Jérôme Hergueux (IEP Paris - Sciences Po Paris - Institut d'études politiques de Paris - Institut d'Études Politiques [IEP] - Paris - PRES Sorbonne Paris Cité - Fondation Nationale des Sciences Politiques [FNSP]); Nicolas Jacquemet (EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, BETA - Bureau d'économie théorique et appliquée - CNRS : UMR7522 - Université de Strasbourg - Université Nancy II)
    Abstract: Internet is a very attractive technology for the implementation of experiments, both in order to obtain larger and more diverse samples and as a field of economic research in its own right. This paper reports on an experiment performed both online and in the laboratory, designed to strengthen the internal validity of decisions elicited over the Internet. We use the same subject pool, the same monetary stakes and the same decision interface, and control the assignment of subjects between the Internet and a traditional university laboratory. We apply the comparison to the elicitation of social preferences in a Public Good game, a dictator game, an ultimatum bargaining game and a trust game, coupled with an elicitation of risk aversion. This comparison concludes in favor of the reliability of behaviors elicited through the Internet. We moreover find a strong overall parallelism in the preferences elicited in the two settings. The paper also reports some quantitative differences in the point estimates, which always go in the direction of more other-regarding decisions from online subjects. This observation challenges either the predictions of social distance theory or the generally assumed increased social distance in internet interactions.
    Keywords: Social experiment ; Field experiment ; Internet Methodology ; Randomized assignment
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:hal:pseose:halshs-00984211&r=ict
  3. By: Sanjeev Goyal (Faculty of Economics and Christ's College, University of Cambridge); Stephanie Rosenkranz (Department of Economics, Utrecht University); Utz Weitzel (Department of Economics, Radboud University Nijmegen); Vincent Buskens (Department of Sociology, Utrecht University)
    Abstract: The explosion in online social networks motivates an enquiry into their structure and their welfare effects. A central feature of these networks is information sharing: online social networks lower the cost of getting information from others. These lower costs affect the attractiveness of individual search vis-a-vis a reliance on social networks. The paper reports the findings of an experiment on these effects. Our experiment shows that online networks can have large effects. Information acquisition is more dispersed and it is accompanied by denser social networks. Aggregate investment in information acquisition falls, but information available to individuals remains stable, due to increased networking. The overall effect is a significant increase in individual utility and aggregate welfare.
    Keywords: Social networks
    JEL: D83 D85
    Date: 2014–04
    URL: http://d.repec.org/n?u=RePEc:fem:femwpa:2014.49&r=ict
  4. By: Manuel Förster (CES, Université Paris 1 Panthéon-Sorbonne, France, and CORE, University of Louvain Louvain-la-Neuve, Belgium); Ana Mauleon (CEREC, Saint-Louis University, Brussels, CORE, University of Louvain, Louvain-la-Neuve, Belgium); Vincent J. Vannetelbosch (CORE, University of Louvain, Louvain-la-Neuve, CEREC, Saint-Louis University, Brussels, Belgium)
    Abstract: We investigate the role of manipulation in a model of opinion formation. Agents repeatedly communicate with their neighbors in the social network, can exert effort to manipulate the trust of others, and update their opinions about some common issue by taking weighted averages of neighbors' opinions. The incentives to manipulate are given by the agents' preferences. We show that manipulation can modify the trust structure and lead to a connected society. Manipulation fosters opinion leadership, but the manipulated agent may even gain influence on the long-run opinions. Finally, we investigate the tension between information aggregation and spread of misinformation.
    Keywords: Social networks, Trust, Manipulation, Opinion leadership, Consensus, Wisdom of Crowds
    JEL: D83 D85 Z13
    Date: 2014–04
    URL: http://d.repec.org/n?u=RePEc:fem:femwpa:2014.50&r=ict

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