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Opinion dynamics and wisdom under conformity

Author

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  • Buechel, Berno

    (Center for Mathematical Economics, Bielefeld University)

  • Hellmann, Tim

    (Center for Mathematical Economics, Bielefeld University)

  • Klößner, Stefan

    (Center for Mathematical Economics, Bielefeld University)

Abstract

We study a dynamic model of opinion formation in social networks. In our model, boundedly rational agents update opinions by averaging over their neighbors' expressed opinions, but may misrepresent their own opinion by conforming or counter-conforming with their neighbors. We show that an agent's social influencev on the long-run group opinion is increasing in network centrality and decreasing in conformity. For efficiency of information aggregation (\wisdom"), misrepresentation of opinions need not undermine wisdom. Given the network, we provide the optimal distribution of conformity levels in the society and show which agents should be more conforming in order to increase wisdom.

Suggested Citation

  • Buechel, Berno & Hellmann, Tim & Klößner, Stefan, 2014. "Opinion dynamics and wisdom under conformity," Center for Mathematical Economics Working Papers 469, Center for Mathematical Economics, Bielefeld University.
  • Handle: RePEc:bie:wpaper:469
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    More about this item

    Keywords

    conformity; eigenvector centrality; social networks; consensus; wisdom of crowds; opinion leadership;
    All these keywords.

    JEL classification:

    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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