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Multi-outcome and Multidimensional Market Scoring Rules
[article]
2012
arXiv
pre-print
Hanson's market scoring rules allow us to design a prediction market that still gives useful information even if we have an illiquid market with a limited number of budget-constrained agents. Each agent can "move" the current price of a market towards their prediction. While this movement still occurs in multi-outcome or multidimensional markets we show that no market-scoring rule, under reasonable conditions, always moves the price directly towards beliefs of the agents. We present a modified
arXiv:1202.1712v1
fatcat:5i4xsqwxrrbcnedjkl75a7kyca