When consensus choice dominates individualism: Jensen's inequality and collective decisions under uncertainty

Quantitative Economics

Volumn 1, Issue 1, 2010, Pages 187-202

  Manski, Charles F ^a  

^a NORTHWESTERN UNIVERSITY   (United States)

Author keywords

Ambiguity; Collective choice of private goods; Heterogeneous beliefs; Mechanism design; Social choice

Indexed keywords

EID: 80051732825     PISSN: 17597323     EISSN: 17597331     Source Type: Journal    
DOI: 10.3982/QE5     Document Type: Article

References (31)

1. Arrow, K. (1951), Social Choice and Individual Values. Wiley, New York.
2. Besley, T. and S. Coate (1991), "Public provision of private goods and the redistribution of income. American Economic Review, 81, 979-984.
3. Black, D. (1948), "On the rationale of group decision-making. Journal of Political Economy, 56, 23-34. DOI: 10.1086/256633
4. Blackorby, C. and D. Donaldson (1988), "Cash versus kind, self-selection, and efficient transfers. American Economic Review, 78, 691-700.
5. Blomquist, S. and V. Christiansen (1995), "Public provision of private goods as a redistributive device in an optimum income tax model. Scandinavian Journal of Economics, 97, 547-567. DOI: 10.2307/3440542
6. Bruce, N. and M. Waldman (1991), "Transfers in-kind: Why they can be efficient and nonpaternalistic. American Economic Review, 81, 1345-1351.
7. Clemen, R. (1989), "Combining forecasts: A review and annotated bibliography. International Journal of Forecasting, 5, 559-583. DOI: 10.1016/0169-2070(89)90012-5
8. Coate, S. (1995), "Altruism, the samaritan's dilemma, and government transfer policy. American Economic Review, 85, 46-57.
9. Epple, D. and R. Romano (1996), "Public provision of private goods. Journal of Political Economy, 104, 57-84. DOI: 10.1086/262017
10. Fang, H. and P. Norman (2008), "Toward an efficiency rationale for the public provision of private goods." Working Paper 13827, National Bureau of Economic Research.
11. Gal-Or, E. (1985), "Information sharing in oligopoly. Econometrica, 53, 329-343. DOI: 10.2307/1911239
12. Galton, F. (1907), "Vox populi. Nature, 75, 450-451. DOI: 10.1038/075450a0
13. Garratt, R. and J. Marshall (1994), "Public finance of private goods: The case of higher education. Journal of Political Economy, 102, 566-582. DOI: 10.1086/261946
14. Harris, M. and A. Raviv (1993), "Differences of opinion make a horse race. Review of Financial Studies, 6, 473-506. DOI: 10.2307/2152780
15. Hodges, J. and E. Lehmann (1950), "Some problems in minimax point estimation. Annals of Mathematical Statistics, 21, 182-197. DOI: 10.1214/aoms/1177729838
16. Kandel, E. and N. Pearson (1995), "Differential interpretation of public signals and trade in speculative markets. Journal of Political Economy, 103, 831-872. DOI: 10.1086/262005
17. Larrick, R. and J. Soll (2006), "Intuitions about combining opinions: Misappreciation of the averaging principle. Management Science, 52, 111-127. DOI: 10.1287/mnsc.1050.0459
18. Manski, C. (2000), "Identification problems and decisions under ambiguity: Empirical analysis of treatment response and normative analysis of treatment choice. Journal of Econometrics, 95, 415-442. DOI: 10.1016/S0304-4076(99)00045-7
19. Manski, C. (2004), "Social learning from private experiences: The dynamics of the selection problem. Review of Economic Studies, 71, 443-458. DOI: 10.1111/0034-6527.00291
20. Manski, C. (2005), Social Choice With Partial Knowledge of Treatment Response. Princeton University Press, Princeton.
21. Manski, C. (2006), "Search profiling with partial knowledge of deterrence. Economic Journal, 116, F385-F401. DOI: 10.1111/j.1468-0297.2006.01128.x
22. Manski, C. (2007), Identification for Prediction and Decision. Harvard University Press, Cambridge, Massachusetts.
23. Manski, C. (2009), "Diversified treatment under ambiguity. International Economic Review, 50, 1013-1041. DOI: 10.1111/j.1468-2354.2009.00558.x
24. Manski, C. (2010), "Vaccination with partial knowledge of external effectiveness. Proceedings of the National Academy of Sciences, 107, 3953-3960. DOI: 10.1073/pnas.0915009107
25. Mayshar, J. (1983), "On divergence of opinion and imperfections in capital markets. American Economic Review, 73, 114-128.
26. McNees, S. (1992), "The uses and abuses of 'consensus' forecasts. Journal of Forecasting, 11, 703-710. DOI: 10.1002/for.3980110807
27. Miller, E. (1977), "Risk, uncertainty, and divergence of opinion. Journal of Finance, 32, 1151-1168. DOI: 10.2307/2326520
28. Sen, A. (1999), "The possibility of social choice. American Economic Review, 89, 349-378.
29. Shapiro, C. (1986), "Exchange of cost information in oligopoly. Review of Economic Studies, 53, 433-446. DOI: 10.2307/2297638
30. Surowiecki, J. (2004), The Wisdom of Crowds. Random House, New York.
31. Vives, X. (1990), "Trade association disclosure rules, incentives to share information, and welfare. RAND Journal of Economics, 21, 409-430. DOI: 10.2307/2555617