eprintid: 10118620 rev_number: 24 eprint_status: archive userid: 608 dir: disk0/10/11/86/20 datestamp: 2021-01-18 14:25:45 lastmod: 2022-08-08 13:59:01 status_changed: 2021-01-18 14:25:45 type: article metadata_visibility: show creators_name: De Filippis, R creators_name: Guarino, A creators_name: Jehiel, P creators_name: Kitagawa, T title: Non-Bayesian updating in a social learning experiment ispublished: pub divisions: UCL divisions: B03 divisions: C03 divisions: F24 keywords: Ambiguous belief updating, Multiple priors, Social learning, Experiment note: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions. abstract: In our laboratory experiment, subjects, in sequence, have to predict the value of a good. The second subject in the sequence makes his prediction twice: first (“first belief”), after he observes his predecessor's prediction; second (“posterior belief”), after he observes his private signal. We find that the second subjects weigh their signal as a Bayesian agent would do when the signal confirms their first belief; they overweight the signal when it contradicts their first belief. This way of updating, incompatible with Bayesianism, can be explained by the Likelihood Ratio Test Updating (LRTU) model, a generalization of the Maximum Likelihood Updating rule. It is at odds with another family of updating, the Full Bayesian Updating. In another experiment, we directly test the LRTU model and find support for it. date: 2022-01 date_type: published publisher: Elsevier official_url: https://doi.org/10.1016/j.jet.2021.105188 oa_status: green full_text_type: other language: eng primo: open primo_central: open_green verified: verified_manual elements_id: 1841068 doi: 10.1016/j.jet.2021.105188 lyricists_name: Guarino, Antonio lyricists_name: Jehiel, Philippe lyricists_name: Kitagawa, Toru lyricists_id: AGUAR93 lyricists_id: PJEHI72 lyricists_id: TKITA87 actors_name: Guarino, Antonio actors_id: AGUAR93 actors_role: owner full_text_status: public publication: Journal of Economic Theory volume: 199 article_number: 105188 citation: De Filippis, R; Guarino, A; Jehiel, P; Kitagawa, T; (2022) Non-Bayesian updating in a social learning experiment. Journal of Economic Theory , 199 , Article 105188. 10.1016/j.jet.2021.105188 <https://doi.org/10.1016/j.jet.2021.105188>. Green open access document_url: https://discovery.ucl.ac.uk/id/eprint/10118620/1/CWP6020-Non-Bayesian-updating-in-a-social-learning-experiment.pdf