In the end, Parker came to the same conclusion as Akerlof and Shiller: Manipulation of human cognitive bias is not a market failure. It’s intrinsic to the design of social media and, as it turns out, to all advertising-based services.
…ls so they can be scammed. But Akerlof and Shiller use the term far more broadly, pointing out that our businesses, our politics, and our society use pervasive phishing-style deception to prey on human cognitive biases.
…ustomers, politics microtargeted to appeal to voters’ prejudices rather than serve the public good, and, of course, “news” headlines designed to make us outraged or titillated rather than informed.