Disinformation Era in the Information Age; Is It the Reason for Global Crises?

Abstract

Information theory claims that information has a value: producing and acquiring information costs. Utilization of the information varies according to capabilities of the users, so information became an important factor in competition especially in the financial sector. Health and the usefulness of the information are as important as its costs and utilization rates, even more important. Disinformation (deliberately disseminating false information) is reduces the market efficiency seriously.

This study investigates certain disinformation activities materialized within the last decades for example: lucid cases from accounting scandals and insider trading activities which are mostly related with disinformation. Similarly, today's currency market conditions have critical question marks about the valuation of certain currencies, especially the value of US dollar. For instance, some of the currencies' market values strongly contradicts with certain theories such as purchasing power parity, international fisher effect etc. It is believed that these abnormalities in valuation reveals from false or misinterpreted information such as inflation numbers etc.

Study suggest that one of the main source of recent crisis is the disinformation all along the financial market place and will continue (step by step) until serious changes takes place in the nature of flow of information which limits or blocks the disinformation activities.