The Main Practical Difference Between the Rational Expectations and Adaptive

question 244

True/False

The main practical difference between the rational expectations and adaptive expectations theories is the speed of adjustment in the economy.

---

Definitions:

B. F. Skinner

An influential American psychologist known for developing the theory of behaviorism and for his research on operant conditioning.

Operant Conditioning

A learning process in which the probability of a behavior is changed by its consequences, such as rewards or punishments.

Stimulus Generalization

The process by which a conditioned response is made in response to stimuli that are similar to the conditioned stimulus but not identical.

Classically Conditioned

The process by which a neutral stimulus becomes associated with a meaningful stimulus and acquires the capacity to elicit a similar response.