Information asymmetry can be used to manipulate public opinion by controlling the flow and access to information. In the case of the Ku Klux Klan, they used information asymmetry to maintain an image of mystery and fear, which helped them propagate their racist ideology. By keeping their activities, rituals, and symbols secret, they were able to control the narrative around their organization. This is a form of manipulation, as it shapes public opinion based on incomplete or skewed information.
Author Steven Levitt, working with journalist Stephen Dubner, shows how economic theories can be use...
View summary