from individual expectations. Subjects have no information about underlying market equilibrium equations, but can learn by … stable treatment, rational expectations (RE) yield a good description of observed aggregate price fluctuations: prices remain …

Biased longevity expectations will lead to suboptimal decisions regarding saving, retirement, annuitization and health …, with consequences for wellbeing in old age. Systematic differences in the accuracy of longevity expectations may partly … veracity of expectations are due to the less educated and cognitively able responding less to changes in objective mortality …

whether therelated expectations and realizations match each other. We use theDutch Social Economic Panel survey data, where … expectations aboutthe next year's financial situation are reported. We show that realizedchanges exceed expectations, and that this … distribution of expectations andrealizations, suggest that individuals around retirement are overly pes-simistic and attach more …

The way in which individual expectations shape aggregate macroeconomic variables is crucial for the transmission and … effectiveness of monetary policy. We study the individual expectations formation process and the interaction with monetary policy … heterogeneous expectations model with a performance-based evolutionary selection among heterogeneous forecasting heuristics to the …

In this paper we consider regression models with forecast feedback. Agents' expectations are formed via the recursive …

Rational expectations assumes perfect, model consistency between beliefs and market realizations. Here we discuss … behaviorally rational expectations, characterized by an observable, parsimonious and intuitive form of consistency between beliefs …-order autocorrelations. Secondly, an asset pricing model with heterogeneous expectations and agents switching between a mean …

example, we discuss a behavioral asset pricing model with heterogeneous expectations. Bubble and crash dynamics is triggered …, showing that in positive feedback systems individuals coordinate expectations on non-rational, almost self …