We propose behavioral learning equilibria as a plausible explanation of coordination of individual expectations and … the economy. The simplicity of behavioral learning equilibria makes coordination of individual expectations on such an …

How do households adjust their spending behavior in response to changes in home price expectations? We conduct a field … experiment with a sample of Americans that links survey data on home price expectations to actual spending behaviour as measured … in a rich home-scanner dataset. In the experiment we exogenously vary households' home price expectations by providing …

Macroeconomic expectations of various economic agents are characterized by substantial cross-sectional heterogeneity …. In this paper, we focus on expectations heterogeneity among professional forecasters. We first present stylized facts and … discuss theoretical explanations for heterogeneous expectations. We then provide an overview of the empirical evidence …

The paper proves that the Bayesian approach to learning and expectations formation implies no propositions that could …

Previous experimental investigations have shown that expectations are not perfectly rational due to bias. Traditional … adaptive models, however, in many cases do not perfectly describe the formation of expectations either. This paper makes two … contributions to the experimental literature on the formation of expectations: First, we investigate whether subjects who have more …

As evidence is accumulating that subjective expectations influence behavior and that these expectations are sometimes … biased, it becomes policy-relevant to know how to influence individuals' expectations. Information in the media is likely to … real-life expectations formation process. For this purpose, an exceptional Dutch dataset on monthly expectations regarding …

interest rate rule, raising the possibility of inefficient fluctuations due to the dependence of expectations on extraneous … combine forward looking expectations and predetermined variables. We consider a variety of specifications that incorporate …