An Economic Model of Ranked Information and "Big Picture"

Harashima, Taiji (2026): An Economic Model of Ranked Information and "Big Picture".

Abstract

Understanding the "big picture" is crucial for success in business, but why? In this paper, I develop an economic model of understanding the "big picture" based on the concept of "ranked information." With the model, I demonstrate that an expanded "informational field of view" allows for more accurate ranking and selection of crucial information, thereby increasing the probability of achieving objectives and enhancing productivity. Conversely, a narrower focus can potentially lead to more frequent errors in business dealings, resulting in significant economic inequality. Furthermore, I show that providing education to a large segment of the population can enhance an economy's productivity by widening individuals' informational fields of view.

• Item Type: MPRA Paper
• Language: English
• Keywords: Big picture; Economic rents; Education; Field of view; Productivity; Ranked information
• Subjects: D - Microeconomics > D2 - Production and Organizations > D24 - Production ; Cost ; Capital ; Capital, Total Factor, and Multifactor Productivity ; Capacity; D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D80 - General; I - Health, Education, and Welfare > I2 - Education and Research Institutions > I26 - Returns to Education

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