Adam, Klaus; Marcet, Albert - C.E.P.R. Discussion Papers - 2009
We present a decision theoretic framework with agents that are learning about the behavior of market determined … beliefs about the future, but may not be 'externally rational', i.e., may not know the true stochastic process for market … about equilibrium prices, so that learning about price behavior, as in Adam, Marcet and Nicolini (2008), is fully consistent …