The ex post accuracy of subjective beliefs: A new measure and decomposition

C-Tier
Journal: Economics Letters
Year: 2022
Volume: 210
Issue: C

Authors (4)

Crossley, Thomas F. (not in RePEc) Gong, Yifan (University of Nebraska) Stinebrickner, Ralph (not in RePEc) Stinebrickner, Todd (University of Western Ontario)

Score contribution per author:

0.251 = (α=2.01 / 4 authors) × 0.5x C-tier

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

Abstract

We propose a novel but intuitive measure of the average ex post accuracy of a group of economic agents’ beliefs, and show how a decomposition of that measure captures different sources of inaccuracy: failure of rational expectations, subjective uncertainty, and aggregate shocks.

Technical Details

RePEc Handle
repec:eee:ecolet:v:210:y:2022:i:c:s0165176521004316
Journal Field
General
Author Count
4
Added to Database
2026-01-25