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Influence Campaigns

Author

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  • Evan Sadler

Abstract

Firms and politicians, among others, invest heavily to influence people's opinions. Because peers influence one another, these efforts must account for social networks. Using a model of opinion dynamics with a non-degenerate steady state, I develop a new measure of influence, and I highlight how opinion fluctuations impact influence campaigns. If agents interact less frequently with those holding different opinions, the variance of public opinion decreases. Consequently, a risk-averse planner focuses on persuading a large majority of agents in a small set of tightly knit groups, while a risk-loving planner makes much broader appeals.

Suggested Citation

  • Evan Sadler, 2023. "Influence Campaigns," American Economic Journal: Microeconomics, American Economic Association, vol. 15(3), pages 271-304, August.
    • Handle: RePEc:aea:aejmic:v:15:y:2023:i:3:p:271-304
    DOI: 10.1257/mic.20210387
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    More about this item

    JEL classification:

    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
    • 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
    • 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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