Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/86279
Authors: 
Martinez, Silvia Dominguez
Swank, Otto H.
Year of Publication: 
2006
Series/Report no.: 
Tinbergen Institute Discussion Paper 06-010/1
Abstract: 
We develop a simple model that describes individuals’ self-assessments oftheir abilities. We assume that individuals learn about their abilities from appraisalsof others and experience. Our model predicts that if communicationis imperfect, then (i) appraisals of others tend to be too positive, and (ii) overconfidenceleading to too much activism is more likely than underconfidenceleading to too much passivity. The predictions of our model are consistentwith findings in the social psychological literature.
Subjects: 
self-assessments
learning about ability
coaching
overconfidence
underconfidence
JEL: 
D81
D82
D83
Document Type: 
Working Paper

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