The Predominant Role of Signal Precision in Experimental Beauty Contests
| Autor: | Camille Cornand, Romain Baeriswyl |
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| Rok vydání: | 2016 |
| Předmět: |
Public information
050208 finance media_common.quotation_subject 05 social sciences Keynesian beauty contest Signal Degree (music) Beauty contest Order (exchange) 0502 economics and business Beauty Econometrics Heterogeneous information 050207 economics General Economics Econometrics and Finance media_common Mathematics |
| Zdroj: | The B.E. Journal of Theoretical Economics. 16:267-301 |
| ISSN: | 1935-1704 2194-6124 |
| DOI: | 10.1515/bejte-2015-0002 |
| Popis: | The weight assigned to public information in Keynesian beauty contests depends on both the precision of signals and the degree of strategic complementarities. This experimental study shows that the response of subjects to changes in signal precision and the degree of strategic complementarities is qualitatively consistent with theoretical predictions, though quantitatively weaker. The weaker response of subjects to changes in the precision of signals, however, mainly drives the weight observed in the experiment, qualifying the role of strategic complementarities and overreaction in experimental beauty contests. |
| Databáze: | OpenAIRE |
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