An informational theory of privacy

0540201 - NHU-C 2021 RIV GB eng J - Článek v odborném periodiku
Jann, Ole - Schottmüller, C.
An informational theory of privacy.
Economic Journal. Roč. 130, č. 625 (2020), s. 93-124. ISSN 0013-0133. E-ISSN 1468-0297
Institucionální podpora: Progres-Q24
Klíčová slova: price discrimination * privacy * uniform pricing
Obor OECD: Economic Theory
Impakt faktor: 3.178, rok: 2020
Způsob publikování: Omezený přístup
https://doi.org/10.1093/ej/uez045

Privacy of consumers or citizens is often seen as an inefficient information asymmetry. We challenge this view by showing that privacy can increase welfare in an informational sense. It can also improve information aggregation and prevent inefficient statistical discrimination. We show how and when the different informational effects of privacy line up to make privacy efficient or even Pareto-optimal. Our theory can be applied to decide who should have which information and how privacy and information disclosure should be regulated. We discuss applications to online privacy, credit decisions and transparency in government.
Trvalý link: http://hdl.handle.net/11104/0317843