Optimal majority threshold in a stochastic environment

Abstract

Within the model of social dynamics determined by collective decisions in a stochastic environment (the ViSE model), we consider the case of a homogeneous society consisting of classically rational economic agents. We obtain analytical expressions for the optimal majority threshold as a function of the parameters of the environment, assuming that the proposals are generated by means of a continuous distribution. The cases of several specific distributions are considered in more detail.

21 pages, 10 figures