Information Cascades in Multi-Agent Models.

A growing literature has brought to our attention the importance of information transmission and aggregation for economic and political behavior. Many recent studies of cascades point to the possibility of information cascades in economies with local learning and information transmission. Information Cascades are defined as conformity that ignores one's own tastes. The purpose of this paper is to investigate the properties of information cascades and the statistical distribution of choices they generate within the context of the motion picture industry.