Delusions of Grandeur and Their Benefits (and Hazards)
Fuente:
arXiv
Guardado en:
| Autores principales: | , , |
|---|---|
| Formato: | Preprint |
| Publicado: |
2026
|
| Materias: | |
| Acceso en línea: | |
| Etiquetas: |
Agregar Etiqueta
Sin Etiquetas, Sea el primero en etiquetar este registro!
|
| _version_ | 1866918535211515904 |
|---|---|
| author | Howes, Cooper Urgun, Can Whitmeyer, Mark |
| author_facet | Howes, Cooper Urgun, Can Whitmeyer, Mark |
| contents | We study a population-wide tournament in which agents, who care both about their absolute and relative wealth, experiment by searching over correlated objects. We explore the role of the agents' beliefs about the environment; namely, the stochastic processes corresponding to their experimentation. We find that although optimism leads to higher output, it also produces greater inequality. We connect these observations with empirical evidence suggesting a positive relationship between inequality and entrepreneurship. |
| format | Preprint |
| id |
arxiv_https___arxiv_org_abs_2606_02306 |
| institution | arXiv |
| publishDate | 2026 |
| record_format | arxiv |
| spellingShingle | Delusions of Grandeur and Their Benefits (and Hazards) Howes, Cooper Urgun, Can Whitmeyer, Mark Theoretical Economics We study a population-wide tournament in which agents, who care both about their absolute and relative wealth, experiment by searching over correlated objects. We explore the role of the agents' beliefs about the environment; namely, the stochastic processes corresponding to their experimentation. We find that although optimism leads to higher output, it also produces greater inequality. We connect these observations with empirical evidence suggesting a positive relationship between inequality and entrepreneurship. |
| title | Delusions of Grandeur and Their Benefits (and Hazards) |
| topic | Theoretical Economics |
| url | https://arxiv.org/abs/2606.02306 |