56,847 research outputs found

    Aggregation of Expert Opinions

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    Conflicts of interest arise between a decision maker and agents who have information pertinent to the problem because of differences in their preferences over outcomes. We show how the decision maker can extract the information by distorting the decisions that will be taken, and show that only slight distortions will be necessary when agents are "informationally small." We further show that as the number of informed agents becomes large the necessary distortion goes to zero. We argue that the particular mechanisms analyzed are substantially less demanding informationally than those typically employed in implementation and virtual implementation. In particular, the equilibria we analyze are "conditionally" dominant strategy in a precise sense. Further, the mechanisms are immune to manipulation by small groups of agents.Information Aggregation, Mechanism Design, Incomplete Information

    Aggregation of Expert Opinions

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    Conflicts of interest arise between a decision maker and agents who have information pertinent to the problem because of differences in their preferences over outcomes. We show how the decision maker can extract the information by distorting the decisions that will be taken, and show that only slight distortions will be necessary when agents are informationally small. We further show that as the number of informed agents becomes large the necessary distortion goes to zero. We argue that the particular mechanisms analyzed are substantially less demanding informationally than those typically employed in implementation and virtual implementation. In particular, the equilibria we analyze are conditionally dominant strategy in a precise sense. Further, the mechanisms are immune to manipulation by small groups of agents.Information aggregation, Asymmetric information, Cheap talk, Experts

    Aggregation of expert opinions and uncertainty theories

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    National audienceThe problem of expert opinions representation and aggregation has long been adressed in the only framework of probability theory. Nevertheless, recent years have witnessed many proposals in other uncertainty theories (possibility theory, evidence theory, imprecise probabilities). This paper casts the problem of aggregating expert opinions in a common underlying framework and shows how uncertainty theories fit into this framework. Differences between theories are then emphasized and discussed

    Ambiguous Aggregation of Expert Opinions: The Case of Optimal R&D Investment

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    How should a decision-maker allocate R&D funds when a group of experts provides divergent estimates on a technology's potential effectiveness? To address this question, we propose a simple decision-theoretic framework that takes into account ambiguity over the aggregation of expert opinion and a decision-maker's attitude towards it. In line with the paper's focus on R&D investment, decision variables in our model may affect experts' subjective probability distributions of the future potential of a technology. Using results from convex optimization, we are able to establish a number of analytical results including a closed-form expression of our model's value function, as well as a thorough investigation of its differentiability properties. We apply our framework to original data from a recent expert elicitation survey on solar technology. The analysis suggests that more aggressive investment in solar technology R&D is likely to yield significant dividends even, or rather especially, after taking ambiguous aggregation into account.Aggregation, Ambiguity, R&D, Expert Opinions, Convex/Conic Optimization

    Robust weighted aggregation of expert opinions in futures studies

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    Expert judgments are widespread in many fields, and the way in which they are collected and the procedure by which they are aggregated are considered crucial steps. From a statistical perspective, expert judgments are subjective data and must be gathered and treated as carefully and scientifically as possible. In the elicitation phase, a multitude of experts is preferable to a single expert, and techniques based on anonymity and iterations, such as Delphi, offer many advantages in terms of reducing distortions, which are mainly related to cognitive biases. There are two approaches to the aggregation of the judgments given by a panel of experts, referred to as behavioural (implying an interaction between the experts) and mathematical (involving non-interacting participants and the aggregation of the judgments using a mathematical formula). Both have advantages and disadvantages, and with the mathematical approach, the main problem concerns the subjective choice of an appropriate formula for both normalization and aggregation. We propose a new method for aggregating and processing subjective data collected using the Delphi method, with the aim of obtaining robust rankings of the outputs. This method makes it possible to normalize and aggregate the opinions of a panel of experts, while modelling different sources of uncertainty. We use an uncertainty analysis approach that allows the contemporaneous use of different aggregation and normalization functions, so that the result does not depend on the choice of a specific mathematical formula, thereby solving the problem of choice. Furthermore, we can also model the uncertainty related to the weighting system, which reflects the different expertise of the participants as well as expert opinion accuracy. By combining the Delphi method with the robust ranking procedure, we offer a new protocol covering the elicitation, the aggregation and the processing of subjective data used in the construction of Delphi-based future scenarios. The method is very flexible and can be applied to the aggregation and processing of any subjective judgments, i.e. also those outside the context of futures studies. Finally, we show the validity, reproducibility and potential of the method through its application with regard to the future of Italian families

    One Market, One Number? A Composite Indicator Assessment of EU Internal Market Dynamics

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    We consider the lack of consensus about an appropriate theoretical framework linking sub-indicators as a defining characteristic of composite indicators. This intrinsic feature implies uncertainties about the appropriate normalisation and aggregation of the raw data. The two are related: index theory offers some valuable guidelines about their connection. Yet these do not fully solve the basic problem of expert disagreement. We embed such (residual) disagreement in the aggregation method itself. Specifically, we apply an impartial benefit-of-the-doubt weighting procedure, where weight restrictions incorporate the available information on experts’ opinions. We apply this procedure to the dynamic performance assessment of EU Internal Market effects, thereby highlighting its capacity to disaggregate member states’ observed performance shifts into changes relative to benchmarks and performance changes of the benchmarks (i.e. catching up versus genuine progress). Our results indicate that the latter factor is more important in explaining the observed progress.composite indicators, aggregation, weighting, Internal Market

    One market, one number? A composite indicator assessment of EU internal market dynamics.

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    We consider the lack of consensus about an appropriate theoretical framework linking sub-indicators as a defining characteristic of composite indicators. This intrinsic feature implies uncertainties about the appropriate normalisation and aggregation of the raw data. The two are related: index theory offers some valuable guidelines about their connection. Yet these do not fully solve the basic problem of expert disagreement. We embed such (residual) disagreement in the aggregation method itself. Specifically, we apply an impartial benefit-of-the-doubt weighting procedure, where weight restrictions incorporate the available information on experts’ opinions. We apply this procedure to the dynamic performance assessment of EU Internal Market effects, thereby highlighting its capacity to disaggregate member states’ observed performance shifts into changes relative to benchmarks and performance changes of the benchmarks (i.e. catching up versus genuine progress). Our results indicate that the latter factor is more important in explaining the observed progress.Dynamics; Market;

    The Effect of Communicating Ambiguous Risk Information on Choice

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    Decision makers are frequently confronted with ambiguous risk information about activities with potential hazards. This may be a result of conflicting risk estimates from multiple sources or ambiguous risk information from a single source. The paper considers processing ambiguous risk information and its effect on the behavior of a decision maker with a-maximin expected utility preferences. The effect of imprecise risk information on behavior is related to the content of information, the decision maker’s trust in different sources of information, and his or her aversion to ambiguity.a-Maximin Expected Utility, aggregation of expert opinions, ambiguity, Knightian uncertainty, risk communication, trust in information source, Risk and Uncertainty,
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