Showing 1 - 10 of 2,113
In modeling expectation formation, economic agents are usually viewed as forming expectations adaptively or in … accordance with some rationality postulate. We offer an alternative nonlinear model where agents exchange their opinions and …, we show that this kind of model performs well in simulation experiments. Focusing upon producers' expectations in the …
Persistent link: https://www.econbiz.de/10009447863
impact of uncertainty and failed expectations induced by money leads to specific patterns of economic disruption. These …
Persistent link: https://www.econbiz.de/10009465939
The unconventional monetary policy of forward guidance operates through the management of expectations about future … paths of interest rates. This paper examines the link between expectations formation and the effectiveness of forward … form expectations about future macroeconomic variables via either the standard rational expectations hypothesis or a more …
Persistent link: https://www.econbiz.de/10015248150
relaxing two standard macroeconomic assumptions: rational expectations and frictionless financial markets. Agents forecast … future macroeconomic variables via either the rational expectations hypothesis or a more plausible theory of expectations … rational expectations and adaptive learning to forward guidance. The macroeconomic variables are overall more responsive to …
Persistent link: https://www.econbiz.de/10015251672
The need for justification is a widely observed social phenomenon. This paper develops a theoretical framework and reports laboratory evidence to show how pure justification pressure affects cooperative behavior in economic exchange environments. In a one-shot anonymous interaction, compared...
Persistent link: https://www.econbiz.de/10015230208
The need for justification is a widely observed social phenomenon. This paper develops a theoretical framework and reports laboratory evidence to show how pure justification pressure affects cooperative behavior in economic exchange environments. In a one-shot anonymous interaction, compared...
Persistent link: https://www.econbiz.de/10015230585
The need for justification is a widely observed social phenomenon. This paper develops a theoretical framework and reports laboratory evidence to show how pure justification pressure affects cooperative behavior in economic exchange environments. In a one-shot anonymous interaction, compared...
Persistent link: https://www.econbiz.de/10015230886
is to predict the future price of an asset. To form their expectations, players see the past realization of the asset …. Considering an increasing fundamental value has no impact on the individual expectations but it increases the volatility of the … results show that the heterogeneity of players' expectations is the main cause of the heterogeneity in the realized price …
Persistent link: https://www.econbiz.de/10015248936
are constrained. The Optimal Expectations theory of Brunnermeier and Parker (2005) models beliefs as being constrained …
Persistent link: https://www.econbiz.de/10015249564
In this paper, we experimentally compare the effect of costless direct and indirect messages on the risky action choices, hence on coordinations in stag-hunt games. We show that there is no effect of costless indirect messages on the frequency of risky action choices and hence on coordination on...
Persistent link: https://www.econbiz.de/10015250511