4 papers
Do People Follow AI Advice? Evidence from a Pension Portfolio Choice Experiment
Hongseok Choi, Jeongbin Kim, Matthew Kovach +3
We study how differences in AI-generated financial recommendations are transmitted into individual portfolio choices. In an experiment with 400 employed adults enrolled in workplac…
Learning from an Unknown DGP: Experimental Evidence on Belief Updating with AI Recommendations
Matthew Kovach, Daniel Martin, Gerelt Tserenjigmid
We use a controlled experiment to study how beliefs are updated after receiving qualitative information (AI recommendations) from an unknown data-generating process (DGP). Across 6…
The Focal Quantal Response Equilibrium
Matthew Kovach, Gerelt Tserenjigmid
We propose a generalization of Quantal Response Equilibrium (QRE) built on a simple premise: some actions are more focal than others. In our model, which we call the Focal Quantal…
Inertial Updating with General Information
Adam Dominiak, Matthew Kovach, Gerelt Tserenjigmid
We study belief revision when information is represented by a set of probability distributions, or general information. General information extends the standard event notion while…