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The social world is often portrayed as being less predictable and more uncertain than the nonsocial world. People may therefore feel the need to search more for information before making a choice. However, we suggest that cognitive tools such as social projection and norm-based expectation may...
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Motivating Examples -- Decision-Theoretic Framework -- Belief Operators -- Basic Characterizations -- Relaxing Completeness -- Backward Induction -- Sequentiality -- Quasi-Perfectness -- Properness -- Capturing forward Induction through Full Permissibility -- Applying Full Permissibility to...
Persistent link: https://www.econbiz.de/10014015098
. The results show that reinforcement learning leads to dynamics similar to those observed in standard public goods games … explained by reinforcement learning. According to our estimates, learning only accounts for 41 percent of the decay in …, differ strongly from the learning dynamics, while a learning model estimated from the limited information treatment tracks …
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Using belief elicitation, the paper investigates the formation and the evolution of beliefs in a signalling game in which a common prior on Sender's type is not induced. Beliefs are elicited about the type of the Sender and about the strategies of the players. The experimental subjects often...
Persistent link: https://www.econbiz.de/10009535526
The payoff matrix of a finite stage game is realized randomly, and then the stage game is repeated infinitely. The distribution over states of the world (a state corresponds to a payoff matrix) is commonly known, but players do not observe nature’s choice. Over time, they can learn the state...
Persistent link: https://www.econbiz.de/10011690752
We study learning in a large class of complete information normal form games. Players continually face new strategic … situations and must form beliefs by extrapolation from similar past situations. We characterize the long-run outcomes of learning … in learning may generate contagion of actions across games even if players learn only from games with payoffs very close …
Persistent link: https://www.econbiz.de/10011700119
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This survey discusses behavioral and experimental macroeconomics emphasizing a complex systems perspective. The economy consists of boundedly rational heterogeneous agents who do not fully understand their complex environment and use simple decision heuristics. Central to our survey is the...
Persistent link: https://www.econbiz.de/10011929804