Social Planning with Partial Knowledge of Social Interactions
AbstractEconomists studying collective decision problems often consider how a social planner would behave. The standard exercise presumes complete knowledge of the welfare achieved by each feasible policy. However, we often have only partial knowledge of policy impacts. This paper extends my program of research on planning under ambiguity from settings with individualistic treatment to ones where treatments interact, each person's outcome depending on his treatment and on the population treatment allocation. I consider the problem in abstraction and use medical treatment of an infectious disease to illustrate.
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Bibliographic InfoArticle provided by Mohr Siebeck, Tübingen in its journal Journal of Institutional and Theoretical Economics.
Volume (Year): 165 (2009)
Issue (Month): 1 (March)
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Web page: http://www.mohr.de/jite
Postal: Mohr Siebeck GmbH & Co. KG, P.O.Box 2040, 72010 Tübingen, Germany
Find related papers by JEL classification:
- D62 - Microeconomics - - Welfare Economics - - - Externalities
- D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
- H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
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