Information Markets: A Research Landscape

Information markets are mechanisms that allow a group of geographically dispersed participants to reach and continuously reevaluate consensus by discovering the value of alternative outcomes. Evidence suggests that these markets can produce better quality decisions than a small subset of selected de...

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Bibliographic Details
Published in:Communications of the Association for Information Systems 2009, Vol.25, p.27
Main Authors: Jones, Joni L., Collins, Rosann Webb, Berndt, Donald J.
Format: Article
Language:English
Subjects:
Decision making
Online Access:Get full text
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Summary:Information markets are mechanisms that allow a group of geographically dispersed participants to reach and continuously reevaluate consensus by discovering the value of alternative outcomes. Evidence suggests that these markets can produce better quality decisions than a small subset of selected decision makers: a finding in direct opposition to the trust we place on expertise. In challenging and uncertain decision-making arenas, information markets offer an interesting, and somewhat counter-intuitive approach. In practice, information markets may be used in combination with other decision-making methods, but these market-based mechanisms offer many advantages. This paper presents an information market typology and explores some of the challenges raised by different market applications. Market types include event and estimation-based prediction markets, decision markets, and idea markets. An integrated research landscape model and research propositions are presented to help guide continuing research in this area.
ISSN:1529-3181
1529-3181
DOI:10.17705/1CAIS.02527