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Money Illusion: Are Economists Different?

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Author Info

  • Giam Pietro Cipriani

    ()
    (University of Verona)

  • Angelo Zago

    ()
    (University of Verona)

  • Diego Lubian

    ()
    (University of Verona)

Abstract

We carried out a survey among a large group of undergraduate students of different disciplines and different years to test whether the study of economics or scientific majors influences the degree by which people are affected by money illusion. We find significant differences between first-year students, suggesting the presence of a selection bias towards money illusion in humanities students and away from it in economics and science students. In addiction, comparing economics students of different years, we do not find evidence of a learning effect.

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File URL: http://www.accessecon.com/pubs/EB/2008/Volume1/EB-08A20001A.pdf
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Bibliographic Info

Article provided by AccessEcon in its journal Economics Bulletin.

Volume (Year): 1 (2008)
Issue (Month): 3 ()
Pages: 1-9

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Handle: RePEc:ebl:ecbull:eb-08a20001

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Keywords: Money illusion;

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  1. Kooreman, Peter & Faber, Riemer & Hofmans, Heleen, 2004. "Charity Donations and the Euro Introduction: Some Quasi-Experimental Evidence on Money Illusion," IZA Discussion Papers 1318, Institute for the Study of Labor (IZA).
  2. Giancarlo Marini & Alessandro Piergallini & Pasquale Scaramozzino, 2007. "Inflation bias after the Euro: evidence from the UK and Italy," Applied Economics, Taylor & Francis Journals, vol. 39(4), pages 461-470.
  3. Edmund Cannon & Giam Pietro Cipriani, 2003. "Euro-illusion: a natural experiment," Bristol Economics Discussion Papers 03/556, Department of Economics, University of Bristol, UK.
  4. Shafir, Eldar & Diamond, Peter & Tversky, Amos, 1997. "Money Illusion," The Quarterly Journal of Economics, MIT Press, vol. 112(2), pages 341-74, May.
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