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Widely discredited ideas nevertheless persist. Why do people fail to ``unlearn? We study one explanation: beliefs are resistant to retractions (the revoking of earlier information). Our experimental design identifies unlearning -- i.e., updating from retractions -- and enables its comparison with learning from equivalent new information. Across different kinds of retractions -- for instance, those consistent or contradictory with the prior, or those occurring when prior beliefs are either extreme or moderate -- subjects do not fully unlearn from retractions and update less from them than from equivalent new information. This phenomenon is not explained by most of the well-studied violations of Bayesian updating, which yield differing predictions in our design. However, it is consistent with difficulties in conditional reasoning, which have been documented in other domains and circumstances.
This paper investigates the heterogeneous impacts of either Global or Local Investor Sentiments on stock returns. We study 10 industry sectors through the lens of 6 (so called) emerging countries: China, Brazil, India, Mexico, Indonesia and Turkey, o
The existing theorization of development economics and transition economics is probably inadequate and perhaps even flawed to accurately explain and analyze a dual economic system such as that in China. China is a country in the transition of dual st
This paper proposes a public-private insurance scheme for earthquakes and floods in Italy in which property-owners, the insurer and the government co-operate in risk financing. Our model departs from the existing literature by describing a public-pri
Since the 1980s, technology business incubators (TBIs), which focus on accelerating businesses through resource sharing, knowledge agglomeration, and technology innovation, have become a booming industry. As such, research on TBIs has gained internat
Conventional energy production based on fossil fuels causes emissions which contribute to global warming. Accurate energy system models are required for a cost-optimal transition to a zero-emission energy system, an endeavor that requires an accurate