TY - UNPB
T1 - ICT revolution, globalization and informational lock-in
AU - Sanditov, Bulat
PY - 2004
Y1 - 2004
N2 - We examine a model of social learning in networks following the lines of Bala and Goyal (1998, 2001). As a model of agents' behaviour we have chosen the model of informational cascades of Bikhchandani et al (1992). Similarly to Bala and Goyal we find that the higher the 'degree of integration' within the society is, the more likely it is that conformity of actions will arise. However, unlike their results our model suggests that in the presence of informational externalities globalisation of informational flows, expressed in the increasing density of communication channels in a network, may drive down the expected social welfare. (author's abstract)
AB - We examine a model of social learning in networks following the lines of Bala and Goyal (1998, 2001). As a model of agents' behaviour we have chosen the model of informational cascades of Bikhchandani et al (1992). Similarly to Bala and Goyal we find that the higher the 'degree of integration' within the society is, the more likely it is that conformity of actions will arise. However, unlike their results our model suggests that in the presence of informational externalities globalisation of informational flows, expressed in the increasing density of communication channels in a network, may drive down the expected social welfare. (author's abstract)
U2 - 10.57938/a6347952-4d91-4500-bb8a-db63e84944a8
DO - 10.57938/a6347952-4d91-4500-bb8a-db63e84944a8
M3 - WU Working Paper and Case
T3 - Working Papers Series "Growth and Employment in Europe: Sustainability and Competitiveness"
BT - ICT revolution, globalization and informational lock-in
PB - Inst. für Volkswirtschaftstheorie und -politik, WU Vienna University of Economics and Business
CY - Vienna
ER -