Johannes Lohse published in the European Economic Review

2024-08-15

A study titled “Beyond Social Influence: Examining the Efficacy of Non-Social Recommendations” by Dr. Johannes Lohse (Leuphana University), Dr. Danae Arroyos-Calvera, and Dr. Rebecca McDonald (both from the University of Birmingham) has been published in the European Economic Review (Volume 168).

This study explores the effects of recommendations on behavior in the areas of risk-taking and fairness. Its findings reveal that participants pay little attention to the source of algorithmic recommendations, leading to similar behavioral responses whether the recommendations are based on the past behavior of others or purely random. This challenges the widely held belief that social recommendations, which leverage social norms, are a more effective way of influencing decisions in allocation and risk tasks.

The research shows that recommendations lacking social context—those transparently generated by random processes—can be just as effective in influencing behavior as socially-based recommendations.

To investigate the underlying mechanisms further, the authors conducted a follow-up study. The results indicate that recommendations may influence behavior through alternative channels, such as deflecting responsibility, anchoring effects, and the general tendency to follow recommendations, rather than simply serving as reminders of normative behavior.

This research provides valuable insights for policymakers aiming to influence behavior, indicating that non-social information can be as powerful a tool for decision-making as traditional social nudges.

The full study is available under an open-access license at https://doi.org/10.1016/j.euroecorev.2024.104801.