A Testable Theory of Imperfect Perception
Journal article: We provide a characterisation of choice behaviour generated by a Bayesian expected utility maximiser. The observable signature of this standard model is the impossibility of raising utility by switching wholesale from one action to another. We provide applications to robustness, to the recovery of utility from choice data and to model classification.
Author(s)
Andrew Caplin, Daniel Martin
Journal
- The Economic Journal
Date of publication
- 2015
Keywords
- Bayesian
Pages
- 184–202
URL of the HAL notice
Version
- 1
Volume
- 125