Improving quality of subjective data for better decision making: Application to stated intentions

Commissioned by: The Institute of Economics, Zagreb 
Project duration: February 1, 2021 – January 31, 2022 
Project manager: Sonja Radas

Summary:
Many areas of economics use subjective data, gathered from respondents via traditional surveys, as well as through new web-based information exchanges and markets. One type of subjective data that is often collected for predictions in many areas of life is stated intentions. Traditionally, intentions are collected by asking respondents about what they intend to do. The trouble is that stated intentions very often differ from the event realization. This project examined possible ways to correct stated intentions by supplementing the stated intentions by individual’s perceptions of the intentions of others, thus accessing the information from individuals’ social circles. This information contains implicit knowledge about others that could be used to correct stated intentions so they get closer to the truth, and consequently to improve decision making on the basis of collected subjective data.