Rational expectations information

Rational expectations is an economic theory that seeks to infer the macroeconomic consequences of individuals' decisions based on all available knowledge...

begets further inflationary expectations, which beget further (built-in) inflation. The important role of rational expectations is recognized by the emphasis...

He is "the father of the rational expectations revolution in economics", primarily due to his article "Rational Expectations and the Theory of Price Movements"...

which confounded the traditional Phillips curve. The rational expectations theory said that expectations of inflation were equal to what actually happened...

macroeconomics Homo economicus Lucas critique Efficient-market hypothesis Rational expectations Real business cycle theory Ricardian equivalence Saltwater theories...

macroeconomists criticized Keynesian models that did not work under rational expectations. Lucas also argued that Keynesian empirical models would not be...

model of how expectations are formed, called rational expectations. The use of rational expectations have largely replaced adaptive expectations in macroeconomic...

adaptive expectations may make ever-increasing errors over time has led many economists to conclude that it is better to assume rational expectations, that...

importance of rigorous foundations based on microeconomics, especially rational expectations. New classical macroeconomics strives to provide neoclassical microeconomic...

Rational choice theory refers to a set of guidelines that help understand economic and social behaviour. The theory originated in the eighteenth century...

Robert Lucas introduced rational expectations to macroeconomics. Prior to Lucas, economists had generally used adaptive expectations where agents were assumed...

rational expectations; and was at the forefront of what came to be known as the 'rational expectations revolution'. At this time adaptive expectations was...

to new classical macroeconomics heavily based on the concept of rational expectations. Several students, young professors and academics who were recruited...

macroeconomic analysis usually assumes that households and firms have rational expectations. However, the two schools differ in that New Keynesian analysis...

to new classical macroeconomics heavily based on the concept of rational expectations. The freshwater–saltwater distinction is largely antiquated today...

supply and price and output changes in a simplified economy using rational expectations. It delivered a new classical explanation of the Phillips curve...

Lucas critique to modeling consumption. He incorporated the idea of rational expectations into his consumption models and sets up the model so that consumers...

and "rational expectations" theory, led by Robert Lucas, and real business cycle theory. In contrast, the new Keynesian approach retains the rational expectations...

the options afforded. rational choice institutionalism rational choice theory rational expectations The theory that people optimally change their behaviour...

exaggerate individual rationality and foresight, and understate the importance of heterogeneity, since the rational expectations, representative agent...

short-run Phillips curve which can shift vertically according to the rational expectations being reviewed continuously. In the strict sense, money is not neutral...

Multi-Academy free school Trust Rational Emotive Therapy, therapy now referred to as rational emotive behavior therapy Rational Expectations Theory, economic model-consistent...

wisdom of crowds and say that price movements really do reflect rational expectations of fundamental returns. Large traders become powerful enough to...

or inflation on output Tests, testability, and implications of rational-expectations theory as to changes in output or inflation from monetary policy...

Long-Term Contracts, Rational Expectations, and the Optimal Money Supply Rule, where he combined the idea of rational expectations argued by new classical...