Types of Reputation Systems
A simple reputation system, employed by eBay, is to record a rating (either positive, negative, or neutral) after each pair of users conducts a transaction. A user's reputation comprises the count of positive and negative transactions in that user's history.
More sophisticated algorithms scale an individual entity's contribution to other nodes' reputations by that entity's own reputation. PageRank is such a system, used for ranking web pages based on the link structure of the web. In PageRank, each web page's contribution to another page is proportional to its own pagerank, and inversely proportional to its number of outlinks.
Reputation systems are also emerging which provide a unified, and in many cases objective, appraisal of the impact to reputation of a particular news item, story, blog or online posting. The systems also utilize complex algorithms to firstly capture the data in question but then rank and score the item as to whether it improves or degrades the reputation of the individual, company or brand in question.
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