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Preferences and social influence

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Fershtmani, Chaim and Segal, U. (Uzi) (2018) Preferences and social influence. American Economic Journal : Microeconomics , 10 (3). pp. 124-142. doi:10.1257/mic.20160190

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Official URL: https://doi.org/10.1257/mic.20160190

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Abstract

Interaction between decision makers may affect their preferences. We consider a setup in which each individual is characterized by two sets of preferences: his unchanged core preferences and his behavioral preferences. Each individual has a social influence function that determines his behavioral preferences given his core preferences and the behavioral preferences of other individuals in his group. Decisions are made according to behavioral preferences. The paper considers different properties of these social influence functions and their effect on equilibrium behavior. We illustrate the applicability of our model by considering decision making by a committee that has a deliberation stage prior to voting

Item Type: Journal Article
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculty of Social Sciences > Warwick Business School > Behavioural Science
Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH): Economics -- Psychological aspects, Decision making -- Mathematical models
Journal or Publication Title: American Economic Journal : Microeconomics
Publisher: American Economic Association
ISSN: 1945-7669
Official Date: August 2018
Dates:
DateEvent
August 2018Published
21 July 2017Accepted
Volume: 10
Number: 3
Page Range: pp. 124-142
DOI: 10.1257/mic.20160190
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access
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