More on Policy Analysis Markets

It looks like some version of the Policy Analysis Markets will be launched after all, but without any government involvement. As noted in my previous post, such markets could be effective aggregators of information if structured properly. As far as I can tell, the markets will be run by a private company (San Diego-based Net Exchange). If profit condiderations drive decisions about market structure, then it seems unlikely that the market rules and procedures will be optimal from the perspective of aggregating information.