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This paper studies a model of disease propagation in which agents can control their exposure to infection by engaging in costly preventive behavior. Agents are assumed to be fully rational, strategically sophisticated and forward-looking. I show that on the transition path, optimal behavior is...
Persistent link: https://www.econbiz.de/10008784740
treatment. After the real effort task subjects were asked to state their retrospective beliefs about their performance in public …
Persistent link: https://www.econbiz.de/10010291831
and treat correlated information as independent. In consequence, people's beliefs are excessively sensitive to well …-connected information sources, implying a pattern of overshooting beliefs. Additionally, in an experimental asset market, correlation …
Persistent link: https://www.econbiz.de/10010328793
beliefs about their opponent's behavior. The sets of responses in the two tasks are largely inconsistent. Rather, we find … evidence that the subjects perceive the games differently when they (i) choose actions, and (ii) state beliefs - they appear to … pay more attention to the opponent's incentives when they state beliefs than when they play the games. On average, they …
Persistent link: https://www.econbiz.de/10010332249
We study beliefs and choices in a repeated normal-form game. In addition to a baseline treatment with common knowledge … its development over time. We use belief statements to track the consistency of subjects.actions and beliefs as well as … the accuracy of their beliefs (relative to the opponent.s true choice) over time. In the baseline treatment we observe …
Persistent link: https://www.econbiz.de/10010263726
Previous experimental investigations have shown that expectations are not perfectly rational due to bias. Traditional adaptive models, however, in many cases do not perfectly describe the formation of expectations either. This paper makes two contributions to the experimental literature on the...
Persistent link: https://www.econbiz.de/10010264725
anticipatory utility from holding optimistic beliefs about their future effort costs. This study provides a rigorous empirical test … beliefs among workers, which causally increase the deferral of work to the future. The roots for biased beliefs stem from …
Persistent link: https://www.econbiz.de/10014534328
We develop a dynamic model where heterogeneous firms take investment decisions depending on their beliefs on future …
Persistent link: https://www.econbiz.de/10014541801
: excessively optimistic beliefs about future demands on an individual's time. The models can be distinguished by how individuals …
Persistent link: https://www.econbiz.de/10012207741
belief of the audience, which generates a sample selection problem. This paper experimentally studies how people form beliefs …
Persistent link: https://www.econbiz.de/10012207896