Dispersed Behavior and Perceptions in Assortative Societies

@inproceedings{Frick2018DispersedBA,
  title={Dispersed Behavior and Perceptions in Assortative Societies},
  author={Mira Frick and Ryota Iijima and Yuhta Ishii},
  year={2018}
}
Motivated by the fact that people’s perceptions of their societies are routinely incorrect, we study the possibility and implications of misperception in social interactions. We focus on coordination games with assortative interactions, where agents with higher types (e.g., wealth, political attitudes) are more likely than lower types to interact with other high types. Assortativity creates scope for misperception, because what agents observe in their local interactions need not be… CONTINUE READING

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