Spring 2013 Comprehension Questions for Prediction Markets
Please answer these questions concisely (ideally 1 sentence each). Your answers will also be emailed to the email address you provide!!
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Name 3 advantages that prediction markets have when compared to polls or other forecasting methods. * *
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What could be a potential problem when using a prediction market inside a company to make a decision regarding the launch of a new product? * *
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What are the nice properties of an automated market maker using an LMSR? *
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Why is computational complexity a concern for the design of prediction markets? *
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Which (sub-)section in the readings did you find difficult and/or did you not fully understand and/or would you like see covered in the lecture in detail. Be as specific as you like. *
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