SOCIAL MEDIA AND MISLEADING INFORMATION IN A DEMOCRACY: A MECHANISM DESIGN APPROACH

Abstract

This study introduces a method for allocating resources to a limited number of key social media networks in order to incentivize filtering. We take into account the existence of both public and commercial sector understanding of the impact of disinformation on social media users. In order to indirectly stop the propagation of false news, our suggested approach encourages social media sites to effectively filter misleading content. Specifically, for effective filtering of misleading information in the generated game, we offer an economically motivated technique that firmly implements all generalized Nash equilibria. We prove that our mechanism has a minimum of one equilibrium, is budget balanced, and is rational on an individual level. We conclude by demonstrating that our method achieves a Pareto efficient solution and admits a generalized Nash equilibrium for quasi-concave utilities and restrictions,