Econometrica: Sep 2005, Volume 73, Issue 5

Adaptive Heuristics

https://doi.org/10.1111/j.1468-0262.2005.00625.x
p. 1401-1430

Sergiu Hart

We exhibit a large class of simple rules of behavior, which we call , and show that they generate rational behavior in the long run. These adaptive heuristics are based on natural regret measures, and may be viewed as a bridge between rational and behavioral viewpoints. Taken together, the results presented here establish a solid connection between the dynamic approach of adaptive heuristics and the static approach of correlated equilibria.

Log In To View Full Content

Back