# kaal:claim:3782193-033

**Claim.** Reputation permits business with any member of a network regardless of personal acquaintance, but only if the network is closed and its size is limited by the ability to police reputation with the available information technology.

**Type.** condition  **Support.** argued

**Holds when.**

- reputation-based networks
- network must be closed
- size bounded by available information technology

**Source quote.**

> First, reputation allows business dealings with any member of the network, regard- less of personal acquaintance. This requires the network to be closed, however, with a size limited by the ability to police reputation using the information technology available.

**From.** Craig Calcaterra, Wulf A. Kaal, *Historical Sketches of Centralization vs. Decentralization* (2021), Maghribi traders’ solution, page 27

**Cite as.** Craig Calcaterra, Wulf A. Kaal, Historical Sketches of Centralization vs. Decentralization (2021). SSRN: https://ssrn.com/abstract=3782193

**Verify.** sha256 of source PDF `74df9cc9a19a098bdacd0424a4174795f6e184f7a31c8ee7541195186701ebd2` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20and%20Kaal%20-%202021%20-%20Historical%20Sketches%20of%20Centralization%20vs.%20Decentralization.pdf

**Topics.** reputation, governance-design

**Keywords.** reputation, closed-networks, information-technology, scalability, governance

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