Speed and quality of collective decision making: Incentives for information provision

B-Tier
Journal: Journal of Economic Behavior and Organization
Year: 2010
Volume: 76
Issue: 3
Pages: 734-747

Authors (2)

Grüner, Hans Peter (not in RePEc) Schulte, Elisabeth (Philipps-Universität Marburg)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Abstract We study a one-shot information aggregation problem in which agents have to provide effort in order to understand the information they are supposed to process. Agents have a common interest in reaching a good decision but suffer from an individual cost of providing effort. Showing that any problem which is incentive compatible for a single information processor is incentive compatible for a decentralized organization, but not vice versa, we derive a new rationale for decentralized information processing. For a class of problems, the fastest organization - the reduced tree proposed by Radner (1993) - yields also the best incentives for information processing.

Technical Details

RePEc Handle
repec:eee:jeborg:v:76:y:2010:i:3:p:734-747
Journal Field
Theory
Author Count
2
Added to Database
2026-01-29