Five experiments were conducted to investigate whether perceived inflation and expected future prices are influenced by the nominal representation of increases in product prices in different currencies. In contrast to previous research demonstrating overestimates of the perceived inflation of...

A series of four experiments were performed to examine the accuracy of estimations of economic growth by both experts and lay people, the factors that influence the accuracy of their estimations, and which procedures they use to make estimations. The results show that for actual growth rates...

This paper examines a potential confirmation bias in price perception in consequence to a real-world event and different explanations for such a confirmation bias. In a panel design conducted 2 months before and after a raise in value-added tax (VAT), 303 participants had to estimate the...

It is widely acknowledged that lay and expert perspectives on the economy widely diverge. In this context, teachers and journalists play a major role because they act as promoters for economic knowledge transfer through schools and media. This study analyzes how teachers and journalists judge...