A Model of Scientific Communication
NBER Working Paper No. 26824
We propose a model of empirical science in which an analyst makes a report to an audience after observing some data. Agents in the audience may differ in their beliefs or objectives, and may therefore update or act differently following a given report. We contrast the proposed model with a classical model of statistics in which the estimate directly determines the payoff. We identify settings in which the proposed model prescribes very different, and more realistic, optimal rules.
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Document Object Identifier (DOI): 10.3386/w26824