Examples of using Rational expectations in English and their translations into Hebrew
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You're not making a rational expectations argument.
Rational expectations theory is the basis for the efficient market theories.
Lucas(1972) incorporates the idea of rational expectations into a dynamic general equilibrium model.
Rational expectations theory is the basis for the efficient market hypothesis(efficient market theory).
He is known as“one of the leaders of the rational expectations revolution" and the author of numerous path-breaking papers.
The rational expectations hypothesis has been used to support some radical conclusions about economic policymaking.
If there is more than one possible equilibrium at any timethen the more interesting implications of the theory of rational expectations do not apply.
As a result, rational expectations do not differ systematically or predictably from equilibrium results.
In fact, expectations would determine the nature of theequilibrium attained, reversing the line of causation posited by rational expectations theorists.
His Doctoral Dissertation was:"Rational Expectations Modeling of Agricultural Supply: The Egyptian Case".
A Rational Expectations Model of Agricultural Supply The article discusses the Egyptian agriculture from the beginning of the 20th century until the year 1968.
Robert Lucas, Jr. for having developed and applied the hypothesis of rational expectations, and thereby having transformed macroeconomic analysis and deepened our understanding of economic policy.
Rational expectations theory defines this kind of expectations as being the best guess of the future(the optimal forecast) that uses all available information.
Citizens should base their decisions on rational expectations about what governments can achieve, rather than letting themselves be motivated by mere hope.
Rational expectations theory has been widely adopted throughout modern macroeconomics as a modelling assumption thanks to the work of New Keynesians such as Stanley Fischer.
For having developed and applied the hypothesis of rational expectations, and thereby having transformed macroeconomic analysis and deepened our understanding of economic policy.
Rational expectations theory defines this kind of expectations as being the best guess of the future(the optimal forecast) that uses all available information.
With its visions of‘efficient markets' and‘rational expectations' all firmly grounded in mechanistic equations, economics was the undisputed queen of the social sciences.
However, rational expectations theory has been widely adopted as a modelling assumption even outside of New Classical macroeconomics thanks to the work of New Keynesians such as Stanley Fischer.
First, truly rational expectations would take into account the fact that information about the future is costly.
During the 1970s rational expectations appeared to have made previous macroeconomic theory largely obsolete, which culminated with the Lucas critique.
The hypothesis of rational expectations addresses this criticism by assuming that individuals take all available information into account in forming expectations. .
The theory of rational expectations says that the actual price will only deviate from the expectation if there is an'information shock' caused by information unforeseeable at the time expectations were formed.
This is of course not a rational expectation, and no one actually expects this to really happen.
Where P^* is the rational expectation and\epsilon is the random error term, which has an expected value of zero, and is independent of P^*.