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Modelling Imperfect Attention

Author

Listed:
  • Paola Manzini

    (University of St. Andrews)

  • Marco Mariotti

    (Queen Mary University of London)

Abstract

We propose a novel method to model an agent who is imperfectly attentive in the sense that she may consider only some of the alternatives available. Our methodology departs from the standard 'revealed preference' one: we make plausible assumptions on the values to the imperfectly attentive agent of different choice situations. We derive in this way a simple reduced-form model that is compatible with several cognitive processes underlying choice: the agent stochastically forms a consideration set by noticing each alternative with a given probability and then maximises a deterministic utility function over the consideration set.

Suggested Citation

  • Paola Manzini & Marco Mariotti, 2015. "Modelling Imperfect Attention," Working Papers 744, Queen Mary University of London, School of Economics and Finance.
    • Handle: RePEc:qmw:qmwecw:744
    as

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    File URL: https://www.qmul.ac.uk/sef/media/econ/research/workingpapers/2015/items/wp744.pdf
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    References listed on IDEAS

    as
    1. David Dillenberger & Andrew Postlewaite & Kareen Rozen, 2011. "Optimism and Pessimism with Expected Utility, Third Version," PIER Working Paper Archive 13-001, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania, revised 26 Dec 2012.
    2. Paola Manzini & Marco Mariotti, 2014. "Stochastic Choice and Consideration Sets," Econometrica, Econometric Society, vol. 82(3), pages 1153-1176, May.
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    Cited by:

    1. Bhattacharya, Mihir & Mukherjee, Saptarshi & Sonal, Ruhi, 2021. "Frame-based stochastic choice rule," Journal of Mathematical Economics, Elsevier, vol. 97(C).

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    More about this item

    Keywords

    Attention; Bounded rationality; Stochastic choice;
    All these keywords.

    JEL classification:

    • D0 - Microeconomics - - General

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