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bounded-rationality and heterogeneous agents. We radically depart from most existing models of this genre in our treatment of … bounded rationality and learning. Instead of the usual Euler learning approach, we assume that agents are internally rational …. Our findings suggest that Kalman-filtering learning with RE can match bounded-rationality in matching persistence seen in …
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This paper explores rational social learning in which everyone only sees unordered random samples from the action history. In this model, herds need not occur when the distant past can be sampled. If private signal strengths are unbounded and the past is not over-sampled -- not forever affected...
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In standard models of rational learning from experience, prior uncertainties and disagreements recede smoothly as common evidence accumulates. However, this presumes that the underlying risks are relatively stable. Otherwise, rational learners need to sift random noise for signs that the trend...
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Computational Techniques for Modelling Learning in Economics offers a critical overview of the computational techniques that are frequently used for modelling learning in economics. It is a collection of papers, each of which focuses on a different way of modelling learning, including the...
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