Rational Inattention, Competitive Supply, and Psychometrics /
Caplin, Andrew.
Rational Inattention, Competitive Supply, and Psychometrics / Andrew Caplin, Dániel Csaba, John Leahy, Oded Nov. - Cambridge, Mass. National Bureau of Economic Research 2018. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25224 . - Working Paper Series (National Bureau of Economic Research) no. w25224. .
November 2018.
We introduce a simple method of recovering attention costs from choice data. Our method rests on a precise analogy with production theory. Costs of attention determine consumer demand and consumer welfare just as a competitive firm's technology determines its supply curve and profits. We implement our recovery method experimentally, outline applications, and link our work to the broader literature on inattention and mistaken decisions.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.
Rational Inattention, Competitive Supply, and Psychometrics / Andrew Caplin, Dániel Csaba, John Leahy, Oded Nov. - Cambridge, Mass. National Bureau of Economic Research 2018. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25224 . - Working Paper Series (National Bureau of Economic Research) no. w25224. .
November 2018.
We introduce a simple method of recovering attention costs from choice data. Our method rests on a precise analogy with production theory. Costs of attention determine consumer demand and consumer welfare just as a competitive firm's technology determines its supply curve and profits. We implement our recovery method experimentally, outline applications, and link our work to the broader literature on inattention and mistaken decisions.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.