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This paper proposes a model of how biased individuals update beliefs in the presence of informational ambiguity. Individuals are ambiguous about the actual signal-generating process and interpret signals according to the model that can best support their biases. This paper provides a complete...
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Firms hiring fresh graduates face uncertainty on the future productivity of workers. Theory suggests that starting …
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This chapter is designed to outline how current methods in formal policy analysis have evolved to better respect limits to an analyst's knowledge. These limits are referred to as model uncertainty both in order to capture the idea that formal policy analysis is predicated on mathematically...
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