Title of article
The commitment effect in belief evolution
Author/Authors
Thomas Gehrig، نويسنده , , Werner Güth، نويسنده , , Rene Levinsky، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2004
Pages
4
From page
163
To page
166
Abstract
In this note, we establish that rational demand expectations will typically not evolve in an evolutionary model. In an evolutionary model, beliefs act like a commitment device to more aggressive behavior. This commitment effect has the same direction for strategic substitutes and complements and fades away in large markets.
Keywords
Commitment effect , Oligopolistic competition , Belief evolution
Journal title
Economics Letters
Serial Year
2004
Journal title
Economics Letters
Record number
435529
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