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The Economic Research Institute, Stockholm School of Economics SSE/EFI Working Paper Series in Economics and Finance

No 708:
Analogy-based Expectations and the Partially Cursed Equilibrium

Topi Miettinen ()

Abstract: Recent literature has questioned the existence of a learning foundation for the partially cursed equilibrium. This paper closes the gap by showing that a partially cursed equilibrium corresponds to a particular analogy-based expectation equilibrium.

Keywords: Analogy Expectations; Bounded Rationality; Curse; Learning; (follow links to similar papers)

JEL-Codes: C72; D82; (follow links to similar papers)

8 pages, August 15, 2008, Revised December 12, 2008

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