Rational entry into risky markets with negative expected returns
Article Abstract:
The theory of negative expected profits in risky but competitive industries was analyzed. The study assumed that participants were rational but had incomplete information about the market. However, individuals had knowledge about the median of the negatively skewed profit distribution. Results of the study are compared with the postdecision bolstering model, where participants discount profit distribution information.
Publication Name: Journal of Economic Behavior & Organization
Subject: Economics
ISSN: 0167-2681
Year: 1992
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A panel data model for subjective information on household income growth
Article Abstract:
Household panel data are used to assess future income expectations Households tend to underestimate income growth if their past income has fallen. Rational expectations are not seen as applicable in these assessments.
Publication Name: Journal of Economic Behavior & Organization
Subject: Economics
ISSN: 0167-2681
Year: 1999
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Sentimental fools: a critique of Amartya Sen's notion of commitment
Article Abstract:
Two types of commitment are identified to separate attitudes to commitment and self-interest.
Publication Name: Journal of Economic Behavior & Organization
Subject: Economics
ISSN: 0167-2681
Year: 1999
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