Heterogeneous learning dynamics and speed of convergence

In a simple, forward looking linear stochastic model we investigate the impact of heterogeneity in expectations formation on the speed of convergence of the learning process of agents towards equilibrium. We …nd that even when heterogeneity does not a¤ect learnability in term of its asymptotic outcome, it can still have an important impact on the learnability of an equilibrium in terms of the speed of convergence of learning dynamics.

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Year of publication:	2010
Authors:	Berardi, Michele
Institutions:	School of Economics, University of Manchester

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Extent:	application/pdf
Series:	Centre for Growth and Business Cycle Research Discussion Paper Series.
Type of publication:	Book / Working Paper
Notes:	19 pages
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008506493