DEFM_WK_2_Discussion
Good evening class,
What are the advantages and disadvantages of measuring social
preferences using the group vs. individual evaluation process?
A benefit of decisions made by a group is that a group may have more
accurate outcomes in a shorter period. As described in the Jury Theorem
by Nicolas de Condorcet, it is more likely for a group of jurors to get a
verdict correct than an individual juror (List, 2013). A jury of twelve can
allow for an extreme outlier and still be able to reach a majority decision.
On the flip side, Li and Suen (2009), state that groups can “be too
conservative in decision making”(pg. 12).
Otherwise, decisive actions may not be taken, and the desired result may
not be achieved.
Another insight by Condorcet is that sometimes majority preferences can
be “irrational” even when individuals can be “rational” (List, 2013). Think
of Irving Janus’s “groupthink,” where decisions made by groups are rife
with errors due to the need to seek consensus. For the individual,
responses are not influenced as much by bias (real or perceived) or the
collective attitudes of the group but solely on the experience, opinions,
and attitudes of the individual. In addition to group vs. individual,
Schaufele et al. (2010) demonstrate in their study that “social context
appears to matter” (pg. 8). However, it is important to remember that
there could be differing results in other studies based on cultural
differences when viewing the material. Yes, Canada is close to the U.S., but
they are different enough culturally that the leaky bucket results of the
study could have different outcomes. It only takes a cursorily look into
policy initiative differences in the two countries to determine some cultural
differences.
Dryzek, J. & List, C. (2003). Social Choice Theory and Deliberative Democracy: A Reconciliation. British
Journal of Political Science, 33(1), 1–28. https://doi.org/10.1017/S0007123403000012
Li, H. and Suen, W. 2009. Viewpoint: Decision-making in committees. Canadian Journal
of Economics 42: 359-392. https://www-jstor-org.ezproxy1.apus.edu/stable/25478356?
sid=primo&seq=1
List, M. (2013). Social choice theory. Stanford Encylcopedia of
Philosophy. https://plato.stanford.edu/entries/social-choice/
Schaufele, B., McMillan, M. L., Boxall, P. C., Adamowicz, W. L., & Rivera, C. S. (2010). Measureing social
preferences in groups versus as individuals: Income inequality aversion using the leaky-bucket method.
Journal of Applied Economics & Policy, 29(1).
Good evening class,
What are the advantages and disadvantages of measuring social
preferences using the group vs. individual evaluation process?
A benefit of decisions made by a group is that a group may have more
accurate outcomes in a shorter period. As described in the Jury Theorem
by Nicolas de Condorcet, it is more likely for a group of jurors to get a
verdict correct than an individual juror (List, 2013). A jury of twelve can
allow for an extreme outlier and still be able to reach a majority decision.
On the flip side, Li and Suen (2009), state that groups can “be too
conservative in decision making”(pg. 12).
Otherwise, decisive actions may not be taken, and the desired result may
not be achieved.
Another insight by Condorcet is that sometimes majority preferences can
be “irrational” even when individuals can be “rational” (List, 2013). Think
of Irving Janus’s “groupthink,” where decisions made by groups are rife
with errors due to the need to seek consensus. For the individual,
responses are not influenced as much by bias (real or perceived) or the
collective attitudes of the group but solely on the experience, opinions,
and attitudes of the individual. In addition to group vs. individual,
Schaufele et al. (2010) demonstrate in their study that “social context
appears to matter” (pg. 8). However, it is important to remember that
there could be differing results in other studies based on cultural
differences when viewing the material. Yes, Canada is close to the U.S., but
they are different enough culturally that the leaky bucket results of the
study could have different outcomes. It only takes a cursorily look into
policy initiative differences in the two countries to determine some cultural
differences.
Dryzek, J. & List, C. (2003). Social Choice Theory and Deliberative Democracy: A Reconciliation. British
Journal of Political Science, 33(1), 1–28. https://doi.org/10.1017/S0007123403000012
Li, H. and Suen, W. 2009. Viewpoint: Decision-making in committees. Canadian Journal
of Economics 42: 359-392. https://www-jstor-org.ezproxy1.apus.edu/stable/25478356?
sid=primo&seq=1
List, M. (2013). Social choice theory. Stanford Encylcopedia of
Philosophy. https://plato.stanford.edu/entries/social-choice/
Schaufele, B., McMillan, M. L., Boxall, P. C., Adamowicz, W. L., & Rivera, C. S. (2010). Measureing social
preferences in groups versus as individuals: Income inequality aversion using the leaky-bucket method.
Journal of Applied Economics & Policy, 29(1).
