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Heterogeneous Learning Author info | Abstract | Publisher info | Download info | Related research | Statistics Chryssi Giannitsarou (Universidade Nova de Lisboa)
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There is by now a large literature characterising conditions under which learning schemes converge to rational expectations equilibria (REEs). It has been claimed that these results depend on the assumption of homogeneous agents and homogeneous learning. This paper analyses the stability of REEs under heterogeneous adaptative learning, for the class of self-referential linear stochastic models. Agents may differ in their initial perceptions about the evolution of the economy, the degrees of inertia in revising their expectations, or the learning rules they use. General conditions are provided for local stability of an REE. In general, it is not possible to show that stability inder homogeneous learning implies stability under heterogeenous learning. To illustrate how to apply the results, several examples are provided. (Copyright: Elsevier)
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Article provided by Elsevier for the Society for Economic Dynamics in its journal Review of Economic Dynamics .
Volume (Year): 6 (2003)
Issue (Month): 4 (October)
Pages: 885-906
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Handle: RePEc:red:issued:v:6:y:2003:i:4:p:885-906Contact details of provider: Postal: Review of Economic Dynamics Academic Press Editorial Office 525 "B" Street, Suite 1900 San Diego, CA 92101 Fax: 1-860-486-4463 Email: Web page: http://www.EconomicDynamics.org/review.htm More information through EDIRC
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Keywords: adaptative learning ; heterogeneity ; stability of equilibria ; Other versions of this item:
Find related papers by JEL classification: D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search, Learning, and Information C62 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Existence and Stability Conditions of Equilibrium
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