Camargo, Braz - In: Games and Economic Behavior 87 (2014) C, pp. 381-396
In an individual experimentation problem a decision maker learns only from his own experience. It is well known that an … optimal experimentation strategy for such problems sometimes results in the best alternative being dropped altogether, which … is the so-called “Rothschild effect.” Many experimentation problems of interest, however, involve learning from both …