high steady states are expectationally stable (E-stable), and thus locally stable under learning, while the middle steady …

This chapter provides a survey of the recent work on learning in the context of macroeconomics. Learning has several … roles. First, it provides a boundedly rational model of how rational expectations can be achieved. Secondly, learning acts … as a selection device in models with multiple REE (rational expectations equilibria). Third, the learning dynamics …

adaptive learning. We reconsider this issue and analyze the full set of solutions for the linearized model. Our main focus is … learning if agents can utilize contemporaneous data. However, in an economy populated by a mixture of agents, some of whom only …

Expectations play a central role in modern macroeconomics. The econometric learning approach, in line with the … in real time. This approach provides a stability test for RE equilibria and a selection criterion in models with multiple … equilibria. Further features of learning – such as discounting of older data, use of misspecified models or heterogeneous choice …

This paper develops an adaptive learning formulation of an extension to the Ball, Mankiw, and Reis (2005) sticky …'s preferences for price vs. output stability, the learning process can converge to a new equilibrium in which both output and price …

that are locally stable under least squares learning provided agents use a common factor representation for their estimated … learning than previously recognized …

agents have perfectly rational expectations, is unstable if in fact these agents follow standard adaptive learning rules … rule. These strong results extend to the case in which there is simultaneous learning by the policy maker and the private …