Showing 1 - 10 of 7,530
. In this paper, we explore the consequences of improved prediction in decision-making. To do so, we adapt existing models … of decision-making under uncertainty to account for the process of determining payoffs. We label this process of … on whether the improvements in prediction enable automated decision-making. We discuss the implications of improved …
Persistent link: https://www.econbiz.de/10012929013
We study the perfect Bayesian equilibrium of a model of learning over a general social network. Each individual receives a signal about the underlying state of the world, observes the past actions of a stochastically-generated neighborhood of individuals, and chooses one of two possible actions....
Persistent link: https://www.econbiz.de/10012771797
-inconsistency strengthen the normative appeal of the active-decision enrollment regime. However, financial illiteracy favors default enrollment … over active decision enrollment …
Persistent link: https://www.econbiz.de/10012762513
errors in decision making are inevitable. Moreover, under the appropriate conditions, these decisions are random conditional … situations than would be possible with randomized control trials. This point is illustrated with data from medical decision …
Persistent link: https://www.econbiz.de/10012995971
It takes a woman and a man to make a baby. This fact suggests that for a birth to take place, the parents should first agree on wanting a child. Using newly available data on fertility preferences and outcomes, we show that indeed, babies are likely to arrive only if both parents desire one. In...
Persistent link: https://www.econbiz.de/10012996885
influences the decision to retire. The magnitude of behavioral responses to changes in social security benefits are reported and …
Persistent link: https://www.econbiz.de/10013220827
This paper formulates and estimates a rigorously-justified linear probability model of binary choices over alternatives characterized by unobserved attributes. The model is applied to estimate preferences of congressmen as expressed in their votes on bills. The effective dimension of the...
Persistent link: https://www.econbiz.de/10013323568
The purpose of the present paper is to focus on the potential inducement to retire earlier in the presence of social security and on the implied effects on lifetime savings. This problem is analyzed within the framework of a model of intertemporal utility maximization. The organization of this...
Persistent link: https://www.econbiz.de/10013309596
afflict medical decision making, I apply basic decision theory to suggest reasonable decision criteria with well …
Persistent link: https://www.econbiz.de/10012946009
In this paper, we ask how bankruptcy law affects the financial decisions of corporations and its implications for firm dynamics. According to current U.S. law, firms have two bankruptcy options: Chapter 7 liquidation and Chapter 11 reorganization. Using Compustat data, we first document capital...
Persistent link: https://www.econbiz.de/10012953996