The Privacy Paradox and Optimal Bias–Variance Trade-offs in Data Acquisition

Published Online:https://doi.org/10.1287/moor.2023.0022

References

  • [1] Abernethy J, Chen Y, Ho CJ, Waggoner B (2015) Low-cost learning via active data procurement. Roughgarden T, Feldman M, Schwarz M, eds. Proc Sixteenth ACM Conf. Econom. Comput. (ACM, New York), 619–636.Google Scholar
  • [2] Acemoglu D, Makhdoumi A, Malekian A, Ozdaglar A (2019) Too much data: Prices and inefficiencies in data markets. Technical report, National Bureau of Economic Research, Cambridge, MA.Google Scholar
  • [3] Acquisti A, Adjerid I, Balebako R, Brandimarte L, Cranor LF, Komanduri S, Leon PG, et al. (2017) Nudges for privacy and security: Understanding and assisting users’ choices online. ACM Comput. Surveys 50(3):1–41.CrossrefGoogle Scholar
  • [4] Agarwal A, Dahleh M, Horel T, Rui M (2020) Toward data auctions with externalities. Preprint, submitted March 18, https://arxiv.org/abs/2003.08345.Google Scholar
  • [5] Athey S, Catalini C, Tucker C (2017) The digital privacy paradox: Small money, small costs, small talk. NBER Working Paper No. 23488, National Bureau of Economic Research, Cambridge, MA.Google Scholar
  • [6] Babaioff M, Kleinberg R, Paes Leme R (2012) Optimal mechanisms for selling information. Faltings B, Leyton-Brown K, Ipeirotis P, eds. Proc. 13th ACM Conf. Electronic Commerce (ACM, New York), 92–109.Google Scholar
  • [7] Barth S, De Jong MD (2017) The privacy paradox—Investigating discrepancies between expressed privacy concerns and actual online behavior—A systematic literature review. Telematics Informatics 34(7):1038–1058.CrossrefGoogle Scholar
  • [8] Bergemann D, Bonatti A (2015) Selling cookies. Amer. Econom. J. Microeconomics 7(3):259–294.CrossrefGoogle Scholar
  • [9] Bergemann D, Bonatti A (2019) Markets for information: An introduction. Annual Rev. Econom. 11:85–107.CrossrefGoogle Scholar
  • [10] Bergemann D, Morris S (2019) Information design: A unified perspective. J. Econom. Literature 57(1):44–95.CrossrefGoogle Scholar
  • [11] Bergemann D, Bonatti A, Smolin A (2018) The design and price of information. Amer. Econom. Rev. 108(1):1–48.CrossrefGoogle Scholar
  • [12] Cai Y, Daskalakis C, Papadimitriou C (2015) Optimum statistical estimation with strategic data sources. Grünwald P, Hazan E, Kale S, eds. Proc. 28th Conf. Learn. Theory, 280–296.Google Scholar
  • [13] Chen Y, Zheng S (2019) Prior-free data acquisition for accurate statistical estimation. Karlin A, Immorlica N, Johari R, eds. Proc. 2019 ACM Conf. Econom. Comput. (ACM, New York), 659–677.Google Scholar
  • [14] Chen Y, Immorlica N, Lucier B, Syrgkanis V, Ziani J (2018) Optimal data acquisition for statistical estimation. Tardos E, Elkind E, Vohra R, eds. Proc. 2018 ACM Conf. Econom. Comput. (ACM, New York), 27–44.Google Scholar
  • [15] Cummings R, Ligett K, Roth A, Wu ZS, Ziani J (2015) Accuracy for sale: Aggregating data with a variance constraint. Roughgarden T, ed. Proc. 2015 Conf. Innovations Theoret. Comput. Sci. (ACM, New York), 317–324.Google Scholar
  • [16] Data Privacy Manager (2020) 100 data privacy and data security statistics. Accessed November 1, 2022, https://dataprivacymanager.net/100-data-privacy-and-data-security-statistics-for-2020/.Google Scholar
  • [17] Dekel O, Fischer F, Procaccia AD (2010) Incentive compatible regression learning. J. Comput. System Sci. 76(8):759–777.CrossrefGoogle Scholar
  • [18] Fleischer LK, Lyu YH (2012) Approximately optimal auctions for selling privacy when costs are correlated with data. Faltings B, Leyton-Brown K, Ipeirotis P, eds. Proc. 13th ACM Conf. Electronic Commerce (ACM, New York), 568–585.Google Scholar
  • [19] Ghosh A, Roth A (2011) Selling privacy at auction. Shoham Y, Chen Y, Roughgarden T, eds. Proc. 12th ACM Conf. Electronic Commerce (ACM, New York), 199–208.Google Scholar
  • [20] Ghosh A, Ligett K, Roth A, Schoenebeck G (2014) Buying private data without verification. Babaioff M, Conitzer V, Easley D, eds. Proc. Fifteenth ACM Conf. Econom. Comput. (ACM, New York), 931–948.Google Scholar
  • [21] Goldfarb A, Tucker C (2011) Online display advertising: Targeting and obtrusiveness. Marketing Sci. 30(3):389–404.LinkGoogle Scholar
  • [22] Goldfarb A, Tucker C (2012) Shifts in privacy concerns. Amer. Econom. Rev. 102(3):349–353.CrossrefGoogle Scholar
  • [23] Hörner J, Skrzypacz A (2016) Selling information. J. Political Econom. 124(6):1515–1562.CrossrefGoogle Scholar
  • [24] Horvitz DG, Thompson DJ (1952) A generalization of sampling without replacement from a finite universe. J. Amer. Statist. Assoc. 47(260):663–685.CrossrefGoogle Scholar
  • [25] Iyer K, Johari R, Sundararajan M (2014) Mean field equilibria of dynamic auctions with learning. Management Sci. 60(12):2949–2970.LinkGoogle Scholar
  • [26] Keith MJ, Thompson SC, Hale J, Lowry PB, Greer C (2013) Information disclosure on mobile devices: Re-examining privacy calculus with actual user behavior. Internat. J. Human Comput. Stud. 71(12):1163–1173.CrossrefGoogle Scholar
  • [27] Kim GS, Park SB, Oh J (2008) An examination of factors influencing consumer adoption of short message service (SMS). Psych. Marketing 25(8):769–786.CrossrefGoogle Scholar
  • [28] Li J, Xia B, Geng X, Ming H, Shakkottai S, Subramanian V, Xie L (2018) Mean field games in nudge systems for societal networks. ACM Trans. Model. Performance Evaluation Comput. Systems 3(4):1–31.CrossrefGoogle Scholar
  • [29] Liao G, Chen X, Huang J (2020) Social-aware privacy-preserving mechanism for correlated data. IEEE/ACM Trans. Networking 28(4):1671–1683.CrossrefGoogle Scholar
  • [30] Liu Y, Chen Y (2016) Learning to incentivize: Eliciting effort via output agreement. Preprint, submitted April 17, https://arxiv.org/abs/1604.04928.Google Scholar
  • [31] Liu Y, Chen Y (2017) Sequential peer prediction: Learning to elicit effort using posted prices. Singh S, Markovitch S, eds. Proc. Thirty-First AAAI Conf. Artificial Intelligence (Association for the Advancement of Artificial Intelligence Press, Palo Alto, CA), 607–613.Google Scholar
  • [32] Liu Y, Chen Y (2018) Surrogate scoring rules and a dominant truth serum for information elicitation. Preprint, submitted February 26, https://arxiv.org/abs/1802.09158.Google Scholar
  • [33] Meir R, Rosenschein JS (2011) Strategyproof classification. ACM SIGecom Exchanges 10(3):21–25.CrossrefGoogle Scholar
  • [34] Meir R, Procaccia AD, Rosenschein JS (2012) Algorithms for strategyproof classification. Artificial Intelligence 186:123–156.CrossrefGoogle Scholar
  • [35] Montes R, Sand-Zantman W, Valletti T (2019) The value of personal information in online markets with endogenous privacy. Management Sci. 65(3):1342–1362.LinkGoogle Scholar
  • [36] Myerson RB (1981) Optimal auction design. Math. Oper. Res. 6(1):58–73.LinkGoogle Scholar
  • [37] Nissim K, Vadhan S, Xiao D (2014) Redrawing the boundaries on purchasing data from privacy-sensitive individuals. Naor M, ed. Proc. Fifth Conf. Innovations Theoret. Comput. Sci. (ACM, New York), 411–422.Google Scholar
  • [38] Niu C, Zheng Z, Wu F, Tang S, Gao X, Chen G (2018) Unlocking the value of privacy: Trading aggregate statistics over private correlated data. Guo Y, Farooq F, eds. Proc. 24th ACM SIGKDD Internat. Conf. Knowledge Discovery Data Mining (ACM, New York), 2031–2040.Google Scholar
  • [39] Perote J, Perote-Pena J (2003) The impossibility of strategy-proof clustering. Econom. Bull. 4(23):1–9.Google Scholar
  • [40] Roth A, Schoenebeck G (2012) Conducting truthful surveys, cheaply. Faltings B, Leyton-Brown K, Ipeirotis P, eds. Proc. 13th ACM Conf. Electronic Commerce (ACM, New York), 826–843.Google Scholar
  • [41] Smith HJ, Dinev T, Xu H (2011) Information privacy research: An interdisciplinary review. Management Inform. Systems Quart. 35(4):989–1016.CrossrefGoogle Scholar
  • [42] Trockel W (2012) Market Demand: An Analysis of Large Economies with Non-Convex Preferences, vol. 223 (Springer, Berlin).Google Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.