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dc.contributor.authorPope, Robinen_US
dc.contributor.authorSelten, Reinharden_US
dc.contributor.authorKube, Sebastianen_US
dc.date.accessioned2009-08-17en_US
dc.date.accessioned2010-07-29T10:09:02Z-
dc.date.available2010-07-29T10:09:02Z-
dc.date.issued2009en_US
dc.identifier.urihttp://hdl.handle.net/10419/37043-
dc.description.abstractThis paper introduces a new theoretic entity, a nominalist heuristic, defined as a focus on prominent numbers, indices or ratios. Abstractions used in the evaluation stage of decision making typically involve nominalist heuristics that are incompatible with expected utility theory which excludes the evaluation stage, and are also incompatible with prospect theory which assumes that, while the evaluation procedure can involve systematic mistakes, the overall decision situation is nevertheless sufficiently simple: 1) for economists and psychologists to identify what is a mistake, and 2) to be compatible with maximisation. But in the typical complex situation giving rise to nominalist heuristics neither 1) nor 2) hold, and therefore what is required is a fundamentally different class of models that allow for the progressive anticipated changes in knowledge ahead faced under risk and uncertainty, namely models under the umbrella of SKAT, the Stages of Knowledge Ahead Theory. A sequel paper. Pope et al 2009b, shows field and laboratory evidence of heuristics in the form of prominent numbers entering exchange rate determination.en_US
dc.language.isoengen_US
dc.publisherGraduate School of Economics Bonnen_US
dc.relation.ispartofseriesBonn econ discussion papers 2009,17en_US
dc.subject.jelD800en_US
dc.subject.jelD810en_US
dc.subject.jelF310en_US
dc.subject.jelF330en_US
dc.subject.ddc330en_US
dc.subject.keywordnominalismen_US
dc.subject.keywordmoney illusionen_US
dc.subject.keywordheuristicen_US
dc.subject.keywordunpredictabilityen_US
dc.subject.keywordexperimenten_US
dc.subject.keywordSKAT the Stages of Knowledge Ahead Theoryen_US
dc.subject.keywordprominent numbersen_US
dc.subject.keywordprominent indicesen_US
dc.subject.keywordprominent ratiosen_US
dc.subject.keywordequalityen_US
dc.subject.keywordhistorical benchmarksen_US
dc.subject.keywordcomplexityen_US
dc.subject.keyworddecision costsen_US
dc.subject.keywordevaluationen_US
dc.subject.stwEntscheidungstheorieen_US
dc.subject.stwWissenen_US
dc.subject.stwKognitionen_US
dc.subject.stwHeuristisches Verfahrenen_US
dc.subject.stwWirtschaftstheorieen_US
dc.subject.stwTheorieen_US
dc.titleNominalist heuristics and economic theoryen_US
dc.typeWorking Paperen_US
dc.identifier.ppn607071141en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
Appears in Collections:Bonn Econ Discussion Papers, Bonn Graduate School of Economics (BGSE), Universität Bonn

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