A behavioral model of adaptation
Date
01/03/2023Metadata
Show full item recordAbstract
Adaptation refers to the process of changing behavior in response to a variation in the environment. We propose a model of an adaptive individual that contemplates two forces: on the one hand the individual benefits from adopting the ideal response to the new environment, but on the other hand, behavioral change is costly. We lay down the axiomatic foundations of the model. We then study two applications. The first studies a situation where ideal behavior depends on the response of another adaptive individual. The second analyzes the case where the ideal response is influenced by the strategic interaction in a cheap talk-like game.
Citation
Apesteguia , J , Ballester , M A & Cuhadaroglu , T 2023 , ' A behavioral model of adaptation ' , Journal of Economic Behavior and Organization , vol. 207 , pp. 146-156 . https://doi.org/10.1016/j.jebo.2023.01.008
Publication
Journal of Economic Behavior and Organization
Status
Peer reviewed
ISSN
0167-2681Type
Journal article
Description
Funding: Financial support by the Spanish Ministry of Science and Innovation (ECO2014-56154-P), Balliol College and Royal Economic Society is gratefully acknowledged.Collections
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