What is a cascading event or incident?
Cascading events are events that occur as a direct or indirect result of an initial event. For example, if a flash flood disrupts electricity to an area and, as a result of the electrical failure, a serious traffic accident involving a hazardous materi- als spill occurs, the traffic accident is a cascading event.
What is the difference between herding and information cascade?
An informational cascade is said to occur when an infinite sequence of individuals ignore their pri- vate information when making a decision, whereas herd behavior occurs when an infinite sequence of individuals make an identical decision, not necessarily ignoring their private information.
Who invented cascade theory?
1.8. In cascade theory, the low price induces early adoptions, which helps start a positive cascade. Welch (1992) developed this idea to explain why initial public offerings of equity are on average severely underpriced by issuing firms.
What is cascade theory?
An Information cascade or informational cascade is a phenomenon described in behavioral economics and network theory in which a number of people make the same decision in a sequential fashion. People make the decision sequentially, and each person can observe the choices made by those who acted earlier.
What is a cascade model?
The cascade model is widely used in teacher professional development interventions around the world. The selected teachers are trained together in a ‘training of trainers’, and then return back to their own schools. The trained teachers then conduct training with the remaining teachers in their schools.
What are the five key functional areas of the ICS?
The Incident Command System comprises five major functional areas: Command, Operations, Planning, Logistics, and Finance/Administration.
Which is the best definition of the word cascading?
Define cascading. cascading synonyms, cascading pronunciation, cascading translation, English dictionary definition of cascading. n. 1. A waterfall or a series of small waterfalls over steep rocks. 2. Something, such as lace, thought to resemble a waterfall or series of small…
Is there a problem with the term information cascade?
More often the problem is that the concept of an information cascade is confused with ideas that do not match the two key conditions of the process, such as social proof, information diffusion, and social influence. Indeed, the term information cascade has even been used to refer to such processes.
What is the medical definition of a cascade?
Medical Definition of cascade. : a molecular, biochemical, or physiological process occurring in a succession of stages each of which is closely related to or depends on the output of the previous stage a cascade of enzymatic reactions the cascade of events comprising the immune response. Keep scrolling for more.
How is an information cascade similar to herd behavior?
It is similar to, but distinct from herd behavior. An information cascade is generally accepted as a two-step process. For a cascade to begin an individual must encounter a scenario with a decision, typically a binary one.