Everyday econometricians: Selection neglect and overoptimism when learning from others - HAL-SHS - Sciences de l'Homme et de la Société Accéder directement au contenu
Pré-Publication, Document De Travail Année : 2023

Everyday econometricians: Selection neglect and overoptimism when learning from others

Résumé

This study explores selection neglect in an experimental investment game where individuals can learn from others' outcomes. Experiment 1 examines aggregate-level equilibrium behavior. We find strong evidence of selection neglect and corroborate several comparative static predictions of Jehiel's (2018) model, showing that the severity of the bias is aggravated by the sophistication of other individuals and moderated when information is more correlated across individuals. Experiment 2 focuses on individual decision-making, isolating the influence of beliefs from possible confounding factors. This allows us to classify individuals according to their degree of naivety and explore the limits of, and potential remedies for, selection neglect.
Fichier principal
Vignette du fichier
wp_202324_.pdf (2.56 Mo) Télécharger le fichier
Origine Fichiers produits par l'(les) auteur(s)

Dates et versions

halshs-04154345 , version 1 (06-07-2023)

Identifiants

  • HAL Id : halshs-04154345 , version 1

Citer

Kai Barron, Steffen Huck, Philippe Jehiel. Everyday econometricians: Selection neglect and overoptimism when learning from others. 2023. ⟨halshs-04154345⟩
80 Consultations
155 Téléchargements

Partager

Gmail Mastodon Facebook X LinkedIn More