Artificial intelligence systems are increasingly demonstrating their capacity to make better predictions than human experts. Yet, recent studies suggest that professionals sometimes doubt the quality of these systems and overrule machine-based prescriptions. This paper explores the extent to...

To study the effect of congestion on the fundamental trade-off between diagnostic accuracy and speed, we empirically test the predictions of a formal sequential testing model in a setting where the gathering of additional information can improve diagnostic accuracy, but may also take time and...

Artificial intelligence systems are increasingly demonstrating their capacity to make better predictions than human experts. Yet, recent studies suggest that professionals sometimes doubt the quality of these systems and overrule machine-based prescriptions. This paper explores the extent to...

We consider a duopoly where firms compete on waiting times in the presence of an industry benchmark. The demand captured by a firm depends on the gap between the firm's offer and the benchmark. We refer to the benchmark effect as the impact of this gap on demand. The formation of the benchmark...

The rapid adoption of AI technologies by many organizations has recently raised concerns that AI may eventually replace humans in certain tasks. In fact, when used in collaboration, machines can significantly enhance the complementary strengths of humans. Indeed, because of their immense...

To study the effect of congestion on the fundamental trade-off between diagnostic accuracy and speed, we empirically test the predictions of a formal sequential testing model in a setting where the gathering of additional information can improve diagnostic accuracy, but may also take time and...

Artificial intelligence systems are increasingly demonstrating their capacity to make better predictions than human experts. Yet, recent studies suggest that professionals sometimes doubt the quality of these systems and overrule machine-based prescriptions. This paper explores the extent to...

This paper explores how governments may efficiently inform the public about an epidemic to induce compliance with their confinement measures. Using an information design framework, we find the government has an incentive to either downplay or exaggerate the severity of the epidemic if it heavily...