Book review: “The Behavioral Economics of Inflation Expectations: Macroeconomics Meets Psychology"
Andrea Sbarile
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Andrea Sbarile: University of Genoa, Department of Economics, Genoa Italy
Economia Internazionale / International Economics, 2022, vol. 75, issue 1, 131-134
Abstract:
Many researches in behavioral economics and in other related fields consider the importance of relying on patterns (shapes, forms). Patterns play an important role in the process of assessing future probabilities and learning from experiences. In the present book, Tobias Rötheli, that has studied this argument for a long time (Rötheli, 1998; 2011) uses the theories on cognitive psychology and the creation of patterns for the analysis of inflation forecasting where expectations consist of extrapolating simple time series patterns for the variable to be forecast.
Date: 2022
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