NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Behavioral Implications of Rational Inattention with Shannon Entropy

Andrew Caplin, Mark Dean

NBER Working Paper No. 19318
Issued in August 2013

---- Acknowledgements -----

We thank Dirk Bergemann, Xavier Gabaix, Sen Geng, Andrei Gomberg, John Leahy, Daniel Martin, Filip Matejka, Alisdair McKay, Stephen Morris, and Michael Woodford for their constructive contributions. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

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