Traditional decision theory assumes that people respond to the exact features of the options
available to them, but observed behavior seems much less precise. This review considers …

Players receive a return to investment that is increasing in the proportion of others who
invest and the state and incur a small cost for acquiring information about the state. Their …

We experimentally study how cognitive noise affects behavior in coordination games. When
players face small computational errors in valuation, equilibrium play becomes more …

The branch of psychology that studies how physical objects are perceived by subjects is
known as psychophysics. A feature of the experimental design is that the experimenter …

We propose and experimentally test a theory of strategic behavior in which players are
cognitively imprecise and perceive a fundamental parameter with noise. We focus on 2 x 2 …

This paper studies how large populations of rationally inattentive individuals acquire
information about economic fundamentals when, along with the motive to accurately …

Noise is a pervasive feature of economic choice. However, standard economics experiments
are not well equipped to study the noise because experiments are constrained: preferences …

Many economic models assume that random variables follow normal (Gaussian)
distributions. Yet, real-world variables may be non-normally distributed. How sensitive are …