Related papers: Potterian Economics
Personalisation of products and services is fast becoming the driver of success in banking and commerce. Machine learning holds the promise of gaining a deeper understanding of and tailoring to customers' needs and preferences. Whereas…
Economic growth depends on capital investments and on investments in education and innovation. The model introduced here will specifiy aggregate output as determined by aggregate supply of capital and education investment. After formulating…
The 2008 global financial crisis marked the beginning of a decade dominated by fiscal austerity policies in much of the developed world. This paper presents a qualitative narrative review of an extensive collection of academic literature to…
Counterfactual Thinking is a human cognitive ability studied in a wide variety of domains. It captures the process of reasoning about a past event that did not occur, namely what would have happened had this event occurred, or, otherwise,…
With the phenomenal rise of generative AI models (e.g., large language models such as GPT or large image models such as Diffusion), there are increasing concerns about human creatives' futures. Specifically, as generative models' power…
There are many on-line settings in which users publicly express opinions. A number of these offer mechanisms for other users to evaluate these opinions; a canonical example is Amazon.com, where reviews come with annotations like "26 of 32…
Current theories of decision making suggest that the neural circuits in mammalian brains (including humans) computationally combine representations of the past (memory), present (perception), and future (agentic goals) to take actions that…
Urban economists have put forward the idea that cities that are culturally interesting tend to attract "the creative class" and, as a result, end up being economically successful. Yet it is still unclear how economic and cultural dynamics…
Artificial intelligence has impacted many aspects of human life. This paper studies the impact of artificial intelligence on economic theory. In particular we study the impact of artificial intelligence on the theory of bounded rationality,…
Academic data sharing is a way for researchers to collaborate and thereby meet the needs of an increasingly complex research landscape. It enables researchers to verify results and to pursuit new research questions with "old" data. It is…
Investigations of social influence in collective decision-making have become possible due to recent technologies and platforms that record interactions in far larger groups than could be studied before. Herding and its impact on…
The study analyzed the impact of financial inclusion on the effectiveness of monetary policy in developing countries. By using a panel data set of 10 developing countries during 2004-2020, the study revealed that the financial inclusion…
Decisions taken in our everyday lives are based on a wide variety of information so it is generally very difficult to assess what are the strategies that guide us. Stock market therefore provides a rich environment to study how people take…
Scientific research is a major driving force in a knowledge based economy. Income, health and wellbeing depend on scientific progress. The better we understand the inner workings of the scientific enterprise, the better we can prompt,…
We construct a model of an exchange economy in which agents trade assets contingent on an observable signal, the probability of which depends on public opinion. The agents in our model are replaced occasionally and each person updates…
As large language models (LLMs) like GPT become increasingly prevalent, it is essential that we assess their capabilities beyond language processing. This paper examines the economic rationality of GPT by instructing it to make budgetary…
With globalization's rise, economic interdependence's impacts have become a prominent factor affecting personal lives, as well as national and international dynamics. This study examines RT's public diplomacy efforts on its non-Russian…
We briefly review statistical models for the probability distribution of money developed in the econophysics literature since the late 1990s. In these models, economic transactions are modeled as random transfers of money between the agents…
In this paper, we address one of the main puzzles in finance observed in the stock market by proponents of behavioral finance: the stock predictability puzzle. We offer a statistical model within the context of rational finance which can be…
Social influence is the process by which individuals adapt their opinion, revise their beliefs, or change their behavior as a result of social interactions with other people. In our strongly interconnected society, social influence plays a…