Digital Platforms and Social Networks

Abstract

This dissertation consists of three self-contained chapters that employ theoretical methods to shed light on the effects of personalization algorithms in social media platforms, the role of rating systems on streaming platforms and information acquisition in social networks, respectively. In an increasingly digitized society, it is crucial to theoretically understand the strategic interplay between profit-maximizing platforms and users. This understanding will eventually lead to policy recommendations. This is the spirit of the first two chapters. Specifically, the first chapter examines how a social media platform governs informational exchanges between users. Once logged out, these users interact with people in their real-life networks, discussing relevant topics and influencing others. Their decisions regarding information provision are crucial for society. The third chapter precisely analyzes how individuals acquire information based on the networks they are part of.