Hommes, Cars; Kiseleva, Tatiana; Kuznetsov, Yuri; … - In: Macroeconomic Dynamics 16 (2012) 03, pp. 335-357
We investigate the effects of memory on the stability of evolutionary selection dynamics based on a multinomial logit model in a simple asset pricing model with heterogeneous beliefs. Whether memory is stabilizing or destabilizing depends in general on three key factors: (1) whether or not the...