Minimax Behaviour and Price Prediction

Edmond Baudier

Chapter Chapter 13 in Risk and Uncertainty, 1968, pp 283-310 from Palgrave Macmillan

Abstract: Abstract This study is an attempt to describe an abstract economic universe whose agents are confronted with the problem of price prediction. The consequences of a particular behaviour in relation to this problem are examined. The behavioural hypothesis chosen is that each agent believes the unknown price pattern to be determined by an adversary whose aim is to minimize the agent’s objective function. It follows that the forecasts made may differ from one agent to another. The purpose of the study is to show that the reactions generated by this method of prediction tend towards market equilibrium and price stability.

Keywords: Utility Function; Group Decision; Economic Agent; Market Mechanism; Labour Input (search for similar items in EconPapers)
Date: 1968
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:intecp:978-1-349-15248-3_13

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349152483

DOI: 10.1007/978-1-349-15248-3_13

Access Statistics for this chapter

More chapters in International Economic Association Series from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().