This paper illustrates how one can deduce preference from observed choices when
attention is both limited and random. We introduce a random attention model where we …

We model a boundedly rational agent who suffers from limited attention. The agent
considers each feasible alternative with a given (unobservable) probability, the attention …

This article presents a selective review of economic research on attentional choice, taking
an observation of as its starting point. Because standard choice data conflate utilities and …

We unite two basic approaches to modelling limited attention in choice by showing that the
rational inattention model implies the formation of consideration sets—only a subset of the …

We show in a theoretical model that the benefit from additional attention to the marginal
attribute within a choice set depends upon the expected utility loss from making a …

When choice is stochastic, revealed preference analysis often relies on random utility
models. However, it is impossible to infer preferences without assumptions on the …

The standard revealed preference argument relies on an implicit assumption that a decision
maker considers all feasible alternatives. The marketing and psychology literatures …

We empirically evaluate how individuals allocate their attention across information within a
choice set prior to their making their final choice. Our model estimates systematicallyvarying …

We show that rational inattention theory of Sims (2003) provides a rationalization of choice
models à la Luce and gives a structural interpre) tation to probability curvature parameters …

We show how information acquisition costs can be identified using observable choice data.
Identifying information costs from behavior is especially relevant when these costs depend …