Example: tourism industry
Chapter 16 Information Cascades

Chapter 16 Information Cascades

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INFORMATION CASCADES information. In this case, we say that herding, or an information cascade, has occurred. This terminology, as well as this example, comes from the work of Banerjee [40]; the concept was also developed in other work around the same time by Bikhchandani, Hirshleifer, and Welch [59, 412].

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