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What is Information Economics and Economics of Information
can anybody help me to define these two terms and the difference between them, I would be greatful
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Replies to This Forum
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Permalink Reply by Deepak Sharma on
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Information economics or the economics of information is a branch of microeconomic theory that studies how information affects an economy and economic decisions. Information has special characteristics. It is easy to create but hard to trust. It is easy to spread but hard to control. It influences many decisions. These special characteristics (as compared with other types of goods) complicate many standard economic theories
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Permalink Reply by Kapil Agrawal on
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Information economics
Information economics or the economics of information is a branch of microeconomic theory that studies how information affects an economy and economic decisions. Information has special characteristics. It is easy to create but hard to trust. It is easy to spread but hard to control. It influences many decisions. These special characteristics (as compared with other types of goods) complicate many standard economic theories.[1]
Information economicsThe subject of "information economics" is treated under Journal of Economic Literature classification code JEL D8 - Information, Knowledge, and Uncertainty. The present article reflects topics included in that code. There are several subfields of information economics. Information as signal has been described as kind of negative measure of uncertainty[2] It includes complete and scientific knowledge as special cases. The first insights in information economics related to the economics of information goods.
In recent decades, there have been influential advances in the study of information asymmetries[3] and their implications for contract theory, including market failure as a possibility
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Permalink Reply by Deepali Malik on
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Thanks Deepak and Kapil ji for your reply.
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