Self-Fulfilling Prophecies, Quasi Nonergodicity, and Wealth Inequality
نویسندگان
چکیده
We construct a model of an exchange economy in which agents trade assets contingent on observable signal, the probability depends public opinion. The our are replaced occasionally, and each person updates beliefs response to observed outcomes. show that distribution signal is described by quasi-nonergodic process people continue disagree with other forever. These disagreements generate large wealth inequalities arise from multiplicative nature dynamics, makes successful bold bets highly profitable.
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ژورنال
عنوان ژورنال: Journal of Political Economy
سال: 2023
ISSN: ['1537-534X', '0022-3808']
DOI: https://doi.org/10.1086/722214