We examine the microeconomics of using algorithms to nudge decision-makers toward particular social outcomes. We refer to this as "algorithmic social engineering." In this article, we apply classic strategic communication models to this strategy. Manipulating predictions to express policy preferences strips the predictions of informational content and can lead decision-makers to ignore them. When social problems stem from decision-makers' objectives (rather than their information sets), algorithmic social engineering exhibits clear limitations. Our framework emphasizes separating preferences and predictions in designing algorithmic interventions. This distinction has implications for software architecture, organizational structure, and regulation.
There is concern that present-biased agents incur too much debt because of its deferred costs – concern that has influenced regulation of consumer...
Lenders are perfectly free to decide for themselves whether, when, how, to whom and on what terms they will extend credit to a sovereign borrower. But...
False information causes harm, threatening individuals, groups, and society. Many people struggle to judge the veracity of the information around them...
We live in a golden age of student surveillance. Some surveillance is old school: video cameras, school resource officers, and tip lines. Old-school...
This article examines the impact of Greece retroactively, via legislation, changing the terms in hundreds of billions of euros worth of Greek...
A resilience agenda is an essential part of protecting national security in a digital age. Digital technologies impact nearly all aspects of everyday...
Cyber stalking involves repeated, often relentless targeting of someone with abuse. Death and rape threats may be part of a perpetrator’s playbook...
Fifty years ago, federal and state lawmakers called for the regulation of a criminal justice “databank” connecting federal, state, and local agencies...
Income inequality is a national preoccupation, and the public’s imagination is captured by the astronomical incomes of Valley tech billionaires and...
In the last few years, the Supreme Court has upended its doctrine of religious freedom under the First Amendment. The Court has explicitly rejected...
There is a live debate going on over whether antitrust should take a broader view of the economics of market concentration. When antitrust reformers...
Large language models (LLMs) now perform extremely well on many natural language processing tasks. Their ability to convert legal texts to data may...
This chapter provides an overview of computational text analysis techniques used to study judicial behavior and decision-making. As legal texts become...
We examine the legal terms in the market for green bonds, debt instruments in which proceeds are earmarked, directly or indirectly, for projects with...
The SEC mandates that public companies assess new information that changes the risks that they face and disclose these if there has been a “material”...
Countries hit by unexpected crises often look to their overseas diasporas for assistance. Some countries have tapped into this generosity of their...