Determinacy and e-stability under reduced-form learning

C-Tier
Journal: Economics Letters
Year: 2015
Volume: 128
Issue: C
Pages: 69-71

Score contribution per author:

1.009 = (α=2.02 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Under reduced-form learning, agents are endowed with an aggregate model, and rational expectations are then replaced with subjective expectations. This paper demonstrates that the reduced-form learning approach may be arbitrary in that a particular representation of aggregate dynamics has particular e-stability properties even though the underlying model’s behavior is meant to be unique.

Technical Details

RePEc Handle
repec:eee:ecolet:v:128:y:2015:i:c:p:69-71
Journal Field
General
Author Count
1
Added to Database
2026-01-25