Showing 1 - 10 of 54
Models of macroeconomic learning are populated by agents who possess a great deal of knowledge of the "true" structure … of the economy, and yet ignore the impact of their own learning on that structure; they may learn about an equilibrium …, but they do not learn within it.  An alternative learning model is presented where agents' decisions are informed by …
Persistent link: https://www.econbiz.de/10009421152
the existing literature, which typically focuses on the learning of private agents during a disinflation.  We build a …
Persistent link: https://www.econbiz.de/10009364587
Why do people stall while bargaining? Why are people keen to conclude a deal quickly, only to subsequently allow delay before the pie is realised? We propose that the reason is not fully explained by discount rates in combination with agents being engaged in a signalling equilibrium with...
Persistent link: https://www.econbiz.de/10005090621
In models of learning by experimentation, there is a natural benchmark of myopia when the only intertemporal link is … to suggest that the use of this particular benchmark is flawed for two reasons: first, passive learning does not … more tellingly, passive learning does not do what it is supposed to do, namely help measure the gains from active …
Persistent link: https://www.econbiz.de/10005090686
This paper considers a simple adaptive learning rule in Bayesian games where players employ threshold strategies …
Persistent link: https://www.econbiz.de/10005047697
The paper surveys recent work on learning in games and delineates the boundary between forms of learning that lead to …
Persistent link: https://www.econbiz.de/10005047759
We analyse the derivation of optimal monetary policy under discretion and commitment when lagged expectations appear in the Phillips curve, making use of the comparatively simple MSV approach which does not require transformation of the model into state-space form.
Persistent link: https://www.econbiz.de/10005051066
We consider optimal monetary and fiscal policies in a New Keynesian model of a small open economy with sticky prices and wages.  In this benchmark setting monetary policy is all we need - analytical results demonstrate that variations in government spending should play no role in the...
Persistent link: https://www.econbiz.de/10004999238
For economies in which goods are available in several (discrete) units, this paper identifies two notions of substitutes. The weaker notion guarantees monotonicity of tatonnement processses and convergence of clock auctions to a pseudo-equilibrium, but only the stronger notion, which treats each...
Persistent link: https://www.econbiz.de/10005047945
We propose a simple payoff-based learning rule that is completely decentralized, and that leads to an efficient … control of wind farms.  The proof of the proposed learning algorithm relies on the theory of large deviations for perturbed …
Persistent link: https://www.econbiz.de/10009190182