Welfare Economics. A key theme of Cognitive Economics is finite cognition (often misleadingly called "bounded rationality …

A growing literature uses now widely-available data on beliefs and expectations in the estimation of structural models … show how expectations data have been used to relax strong assumptions about beliefs and outline how they can be used in … of expectations data in the estimation of structural models. We conclude by noting directions for future research …

For decades, households' subjective expectations elicited via surveys have been considered meaningless because they … us understand previously-considered puzzling facts about their subjective expectations. In turn, subjective expectations … signals the same households observe, their subjective expectations, and their real-world economic decisions is crucial to …

-person discrepancy is smaller, but still discernible, for unemployment expectations. The discrepancy in responses is systematically …

otherwise well-informed about inflation and asset returns. Consequently, whereas exogenous shifts in inflation expectations do … not impact return expectations, information on past returns during periods of high inflation leads to negative updating … about the perceived stock-return impact of inflation, which feeds into return expectations and subsequent actual trading …

. One major aim of this outreach is to guide inflation expectations; another is to ensure accountability and create trust … on the extent to which this new outreach does in fact affect inflation expectations and trust. On balance, we see some …