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Weblogs can harm business and political decision-making

NEW YORK, Sept. 7, 2004 -- Online discussion tools such as weblogs have lead to a widespread sense of optimism that distributed groups can make good decisions. However, according to Michael Feldstein of eLearn magazine (http://www.eLearnMag.org), these tools can also amplify and accelerate the spread of bad information that leads to bad decisions surprisingly often. Drawing on research by economists about how stock market bubbles and fashion crazes start, Feldstein shows that the same sorts of problems are likely or even inevitable in certain kinds of online information-sharing that are typical in online education, corporate management, and even political discussion.

Information loss occurs as a result of group social dynamics. When a consensus is building, individuals will often defer to the opinions the people who spoke before them, keeping any reservations they have to themselves. The information contained in those reservations is lost in what economists call an "informational cascade." The ultimate group decision is often based entirely on the opinions of the first few people to speak up. In addition to showing how weblogs and other sorts of online communication create natural conditions for this sort of problem to happen, Feldstein provides specific practical suggestions on how to prevent informational cascades or to stop them once they have started.

Find out how to best manage discussion technologies in eLearn Magazine's article by Michael Feldstein. His article, "The Problem of Informational Cascades in Online Learning" explains how you can successfully manage online communications. Feldstein is an eLearn Magazine Editorial Board Member and CEO of MindWires, Inc.

About eLearn:

eLearn Magazine, http://www.eLearnMag.org puts education and technology in perspective. This online publication is produced by the ACM and incorporates the knowledge and views of experts in the field of online learning. eLearn is designed to be the most accurate and unbiased source for news, information, and opinion on the fast-developing field of online education and training. It serves as a community hub for e-learning professionals and is available free-of-charge on the Web.

About ACM:

ACM (http://www.acm.org) is widely recognized as the premier organization for computing professionals, delivering a broad array of resources that advance the computing and IT disciplines, enable professional development, and promote policies and research that benefit society.

SOURCE eLearn Magazine

Web Site: http://www.eLearnMag.org



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