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Tailored Recommendations

Author

Listed:
  • Eric Danan

    (THEMA - Théorie économique, modélisation et applications - UCP - Université de Cergy Pontoise - Université Paris-Seine - CNRS - Centre National de la Recherche Scientifique)

  • Thibault Gajdos

    (LPC - Laboratoire de psychologie cognitive - AMU - Aix Marseille Université - CNRS - Centre National de la Recherche Scientifique)

  • Jean-Marc Tallon

    (PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

Abstract

Many popular internet platforms give personalized recommendations to their users, based on other users who have provided similar ratings for some items. We propose a novel approach to such recommendation systems by viewing a recommendation as a way to extend an agent's preferences to items she has not yet rated, by means of some aggregate of other agents' preferences. These extension and aggregation requirements are expressed by an Acceptance and a Pareto principle, respectively. We show through examples that so-called collaborative filtering systems used by popular platforms typically violate the Pareto principle. We then develop a formal model within which we identify the recommendation systems satisfying the above two principles. A central feature of this model is the use of incomplete preference relations to handle agents who have not rated all items.

Suggested Citation

  • Eric Danan & Thibault Gajdos & Jean-Marc Tallon, 2019. "Tailored Recommendations," Working Papers halshs-02414209, HAL.
  • Handle: RePEc:hal:wpaper:halshs-02414209
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-02414209v1
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    References listed on IDEAS

    as
    1. ,, 2014. "A ranking method based on handicaps," Theoretical Economics, Econometric Society, vol. 9(3), September.
    2. Eric Danan & Thibault Gajdos & Jean-Marc Tallon, 2015. "Harsanyi's Aggregation Theorem with Incomplete Preferences," American Economic Journal: Microeconomics, American Economic Association, vol. 7(1), pages 61-69, February.
    3. De Meyer, Bernard & Mongin, Philippe, 1995. "A note on affine aggregation," Economics Letters, Elsevier, vol. 47(2), pages 177-183, February.
    4. Danan, Eric & Gajdos, Thibault & Tallon, Jean-Marc, 2013. "Aggregating sets of von Neumann–Morgenstern utilities," Journal of Economic Theory, Elsevier, vol. 148(2), pages 663-688.
    5. Eric Danan & Thibault Gajdos & Jean-Marc Tallon, 2015. "Harsanyi's Aggregation Theorem with Incomplete Preferences," American Economic Journal: Microeconomics, American Economic Association, vol. 7(1), pages 61-69, February.
    6. Juan Dubra & Fabio Maccheroni & Efe A. Ok, 2004. "Expected Utility Without the Completeness Axiom," Yale School of Management Working Papers ysm404, Yale School of Management.
    7. Baucells, Manel & Shapley, Lloyd S., 2008. "Multiperson utility," Games and Economic Behavior, Elsevier, vol. 62(2), pages 329-347, March.
    8. Kfir Eliaz & Ran Spiegler, 2019. "The Model Selection Curse," American Economic Review: Insights, American Economic Association, vol. 1(2), pages 127-140, September.
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    10. Dubra, Juan & Maccheroni, Fabio & Ok, Efe A., 2004. "Expected utility theory without the completeness axiom," Journal of Economic Theory, Elsevier, vol. 115(1), pages 118-133, March.
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    12. John C. Harsanyi, 1953. "Cardinal Utility in Welfare Economics and in the Theory of Risk-taking," Journal of Political Economy, University of Chicago Press, vol. 61(5), pages 434-434.
    13. John C. Harsanyi, 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility," Journal of Political Economy, University of Chicago Press, vol. 63(4), pages 309-309.
    14. Juan Dubra & Efe A. Ok, 2002. "A Model of Procedural Decision Making in the Presence of Risk," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(4), pages 1053-1080, November.
    15. Pivato, Marcus, 2013. "Social welfare with incomplete ordinal interpersonal comparisons," Journal of Mathematical Economics, Elsevier, vol. 49(5), pages 405-417.
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