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Digital Dystopia

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  • Jean Tirole

Abstract

Autocratic regimes, democratic majorities, private platforms, and religious or professional organizations can achieve social control by managing the flow of information about individuals' behavior. Bundling the agents' political, organizational, or religious attitudes with information about their prosocial conduct makes them care about behaviors that they otherwise would not. The incorporation of the individuals' social graph in their social score further promotes soft control but destroys the social fabric. Both bundling and guilt by association are most effective in a society that has weak ties and is politically docile.

Suggested Citation

  • Jean Tirole, 2021. "Digital Dystopia," American Economic Review, American Economic Association, vol. 111(6), pages 2007-2048, June.
    • Handle: RePEc:aea:aecrev:v:111:y:2021:i:6:p:2007-48
    DOI: 10.1257/aer.20201214
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    JEL classification:

    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • K38 - Law and Economics - - Other Substantive Areas of Law - - - Human Rights Law; Gender Law; Animal Rights Law
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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