Optimal symbol-processing: A problem in individual and social economics
Jacob Marschak · Systems Research and Behavioral Science · 1971
A typical chain of symbol-processors transforms events into data (inquiring), data into messages (communicating), messages into actions (deciding). A symbol-processor can be a man or a machine. This paper takes some examples from legal practice with criminal evidence as “data,” the “benefit” of condemning an innocent being even less than that of acquitting the guilty. In addition to the costs of inquiring and deciding, the costs of communication are considered. Related examples from the information industry are examined.