Working Paper

The Scandal Matrix: The Use of Scandals in the Progress of Society

Manfred J. Holler, Bengt-Arne Wickström
CES, Munich, 1998

CES Working Paper No. 159

Social conventions and norms can be modeled as equilibria of coordination games. It is argued that the critical mass necessary for a society to move from one convention, that is from one equilibrium, to another changes with changes in the population structure due to generation shifts. A scandal is defined as a breach of the accepted norm by a prominent person When the critical mass necessary for a change in the accepted convention is sufficiently small, a scandal can trigger such a change since the scandal maker has a certain number of sympathizers, who follow her in breaking the accepted norm. The argument is illustrated with several examples from the history of mankind.

JEL Classification: C720,D740,J190,Z100