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Dynamics of survey responses before and during the pandemic : entropy and dissimilarity measures applied to business tendency survey data

Tomczyk, Emilia - In: Statistics in transition : an international journal of … 24 (2023) 2, pp. 185-199

economic activity. For the purposes of the analysis of the expectations expressed in business tendency surveys, the paper aims … measures are employed to study the characteristics of the expectations and assessments expressed in the business tendency … COVID-19 pandemic expressed in business tendency surveys tend to be unfavourable, but the statistical properties or the …

Persistent link: https://www.econbiz.de/10015052134

Information acquisition and financial intermediation

Boyarchenko, Nina - 2012

This paper considers the problem of information acquisition in an intermediated market, where the specialists have access to superior technology for acquiring information. These informational advantages of specialists relative to households lead to disagreement between the two groups, changing...

Persistent link: https://www.econbiz.de/10010333567

Why do borrowers make mortgage refinancing mistakes?

Agarwal, Sumit; Rosen, Richard J.; Yao, Vincent - 2013

Refinancing a mortgage is often one of the biggest and most important financial decisions that people make. Borrowers need to choose the interest rate differential at which to refinance and, when that differential is reached, they need to take the steps to refinance before rates change again....

Persistent link: https://www.econbiz.de/10010352189

Consumer choice under limited attention when options have different information costs

Hüttner, Frank; Boyacı, Tamer; Akçay, Yalçın - 2016

Consumers often do not have complete information about the choices they face and therefore have to spend time and effort in acquiring information. Since information acquisition is costly, consumers have to trade-off the value of better information against its cost, and make their final choices...

Persistent link: https://www.econbiz.de/10011550380

Pricing when customers have limited attention

Boyacı, Tamer; Akçay, Yalçın - 2017

We study the optimal pricing problem of a firm facing customers with limited attention and capability to process information about the value (quality) of the offered products. We model customer choice based on the theory of rational inattention in the economics literature, which enables us to...

Persistent link: https://www.econbiz.de/10011595110

Rational inattention, inflation developments and perceptions after the euro cash changeover

Ehrmann, Michael - 2006

This paper uses the euro cash changeover to test theories of finite informationprocessing capacities on the side of consumers. It argues that the denomination of prices in a new currency has increased the information-processing requirements for consumers by more than for sellers, a wedge that...

Persistent link: https://www.econbiz.de/10011604634

Optimal sticky prices under rational inattention

Maćkowiak, Bartosz; Wiederholt, Mirko - 2009

This paper presents a model in which price setting firms decide what to pay attention to, subject to a constraint on information flow. When idiosyncratic conditions are more variable or more important than aggregate conditions, firms pay more attention to idiosyncratic conditions than to...

Persistent link: https://www.econbiz.de/10011605055

Inattention to rare events

Maćkowiak, Bartosz; Wiederholt, Mirko - 2015

The world recently experienced several rare events with disastrous consequences: the global financial crisis, the European sovereign debt crisis, and the Fukushima nuclear accident. These events have in common that key decision-makers were unprepared for them, which aggravated these events. We...

Persistent link: https://www.econbiz.de/10011605886

The rational inattention filter

Maćkowiak, Bartosz; Matějka, Filip; Wiederholt, Mirko - 2017

Dynamic rational inattention problems used to be difficult to solve. This paper provides simple, analytical results for dynamic rational inattention problems. We start from the benchmark rational inattention problem. An agent tracks a variable of interest that follows a Gaussian process. The...

Persistent link: https://www.econbiz.de/10011606052

Why they keep missing: An empirical investigation of rational inattention of rating agencies

El-Shagi, Makram; von Schweinitz, Gregor - 2017

Sovereign ratings have frequently failed to predict crises. However, the literature has focused on explaining rating levels rather than the timing of rating announcements. We fill this gap by explicitly differentiating between a decision to assess a country and the actual rating decision....

Persistent link: https://www.econbiz.de/10011627885