[Y_Y]

Imagine a world where Google optimises for "social benefit" rather than revenue (as this algorithm does).

[debatem1]

This is a significant misreading of the phrase "social benefit" in the context of auction design.

[Footpost]

Which of the many possible, highly contentious, and mututally incompatible notions of "social benefit" do you recommend Google adopt, and why?

[paulgb]

There's a certain logic to using an "honest" mechanism even if it is not theoretically revenue optimal: non-honest mechanisms put the cost of optimizing bids on the buyers, which ultimately reduces the budget they could spend on ads. (The only honest mechanisms for this type of auction are not revenue-maximizing.)