Algorithms vs. Peers: Shaping Engagement with Novel Content

Abstract: The pervasive rise of digital platforms has reshaped how individuals engage with information, with algorithms and peer influence playing pivotal roles in these processes. This study investigates the effects of algorithmic curation and peer influence through social cues (e.g., peer endorsements) on engagement with novel content. Through a randomized field experiment on WeChat involving over 2.1 million users, we find that while peer-sharing exposes users to more novel content, algorithmic curation elicits significantly higher engagement with novel content than peer-sharing, even when social cues are present. Despite users' preference for redundant and less diverse content, both mechanisms mitigate this bias, with algorithms demonstrating a stronger positive effect than peer influence. These findings, though heterogeneous, are robust across demographic variations such as sex, age, and network size. Our results challenge concerns about "filter bubbles" and underscore the constructive role of algorithms in promoting engagement with non-redundant, diverse content.