Similar Search Results

Errors in Probabilistic Reasoning and Judgment Biases

Benjamin, Daniel J. - 2018

Errors in probabilistic reasoning have been the focus of much psychology research and are among the original topics of modern behavioral economics. This chapter reviews theory and evidence on this topic, with the goal of facilitating more systematic study of belief biases and their integration...

Persistent link: https://www.econbiz.de/10012480852

Money Earlier or Later? Simple Heuristics Explain Intertemporal Choices Better than Delay Discounting

Ericson, Keith M. - 2015

Heuristic models have been proposed for many domains of choice. We compare heuristic models of intertemporal choice, which can account for many of the known intertemporal choice anomalies, to discounting models. We conduct an out-of-sample, cross-validated comparison of intertemporal choice...

Persistent link: https://www.econbiz.de/10012457718

Heuristic Thinking and Limited Attention in the Car Market

Lacetera, Nicola - 2011

thinking may be important. Our results suggest that information-processing heuristics may be important even in markets with …

Persistent link: https://www.econbiz.de/10012461629

A Heuristic Method for Extracting Smooth Trends from Economic Time Series

Rotemberg, Julio J. - 1999

This paper proposes a method for separating economic time series into a smooth component whose mean varies over time (the trend') and a stationary component (the cycle'). The aim is to make the trends as smooth as possible while also producing cycles with plausible properties. While the main...

Persistent link: https://www.econbiz.de/10012471343

How Do Individuals Repay Their Debt? The Balance-Matching Heuristic

Gathergood, John - 2017

We study how individuals repay their debt using linked data on multiple credit cards from five major issuers. We find that individuals do not allocate repayments to the higher interest rate card, which would minimize the cost of borrowing. Instead, individuals allocate repayments using a...

Persistent link: https://www.econbiz.de/10012453552

Rational Heuristics? Expectations and Behaviors in Evolving Economies with Heterogeneous Interacting Agents

Dosi, Giovanni - 2020

expectations with less naïve learning rules. Our results suggest that fast and frugal robust heuristics may not be a second …

Persistent link: https://www.econbiz.de/10012481880

Algorithmic Recommendations and Human Discretion

Angelova, Victoria; Dobbie, Will; Yang, Crystal - National Bureau of Economic Research - 2023

new quasi-experimental tools to measure the impact of human discretion over an algorithm on the accuracy of decisions … judges in our setting underperform the algorithm when they make a discretionary override, with most making override decisions … that are no better than random. Yet the remaining 10% of judges outperform the algorithm in terms of both accuracy and …

Persistent link: https://www.econbiz.de/10014372504

Trading Votes for Votes. A Decentralized Matching Algorithm

Casella, Alessandra - 2015

? (2) Is it reachable through a decentralized algorithm? (3) What welfare properties does it possess? We prove that a … allocation achieved via sequential pairwise trades, but lends only weak support to the dynamic algorithm itself …

Persistent link: https://www.econbiz.de/10012457024

Algorithms and the Changing Frontier

Agwara, Hezekiah - 2014

We first summarize the dominant interpretations of the "frontier" in the United States and predecessor colonies over the past 400 years: agricultural (1610s-1880s), industrial (1890s-1930s), scientific (1940s- 1980s), and algorithmic (1990s-present). We describe the difference between the...

Persistent link: https://www.econbiz.de/10012458625

Solving the DMP Model Accurately

Petrosky-Nadeau, Nicolas - 2013

An accurate global algorithm is critical for quantifying the dynamics of the Diamond-Mortensen-Pissarides model …

Persistent link: https://www.econbiz.de/10012459455