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Persuasion on Networks / Georgy Egorov, Konstantin Sonin.

By: Contributor(s): Material type: TextTextSeries: Working Paper Series (National Bureau of Economic Research) ; no. w27631.Publication details: Cambridge, Mass. National Bureau of Economic Research 2020.Description: 1 online resource: illustrations (black and white)Subject(s): Online resources: Available additional physical forms:
  • Hardcopy version available to institutional subscribers
Abstract: We analyze persuasion in a model in which each receiver can buy a direct access to the sender's signal or rely on her network connections to get it. For the sender, a higher bias increases the impact per direct receiver, yet diminishes the willingness of agents to receive information. Contrary to naive intuition, the optimal propaganda might target peripheral, rather than centrally-located agents, and is at its maximum levels when the probability that information flows between agents is close to zero or one, but not in-between. The impact of network density depends on this probability as well.
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July 2020.

We analyze persuasion in a model in which each receiver can buy a direct access to the sender's signal or rely on her network connections to get it. For the sender, a higher bias increases the impact per direct receiver, yet diminishes the willingness of agents to receive information. Contrary to naive intuition, the optimal propaganda might target peripheral, rather than centrally-located agents, and is at its maximum levels when the probability that information flows between agents is close to zero or one, but not in-between. The impact of network density depends on this probability as well.

Hardcopy version available to institutional subscribers

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