In experiments, people do not always appear to think very strategically or to infer the information of others from their choices. We report experimental results in games of private information with three information states, which vary in strategic complexity. “Mousetracking” is used to...

This paper presents a model where individuals have imperfect information about their preferences (or the environment) and there is an opportunity cost of learning. It shows that the endogenous decision to collect information before taking an action creates a systematic bias in the aggregate...