Wednesday - October 15, 2025
Federal Reserve Bank of San Francisco: 'A Behavioral Foundation for the Investment Wedge'
October 13, 2025
SAN FRANCISCO, California, Oct. 13 (TNSLrpt) -- The Federal Reserve Bank of San Francisco issued the following white paper (No. 2025-22) on October 8, 2025, by Pierlauro Lopez, Jean-Paul L'Huillier, and Sanjay R. Singh entitled "A Behavioral Foundation for the Investment Wedge."

Here are excerpts:

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Motivated by behavioral evidence, we develop a tractable method for incorporating competition neglect in a general equilibrium firm investmen . . .

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