Beliefs asymmetry and price stability in a cobweb model

This work analyses the role of asymmetry in beliefs for price dynamics a cobweb model with heterogeneous expectations and evolutionary selection predictors. While but symmetric result rational equilibrium price, effect depends on whether predictors one side or other rationality have larger support. A support skewed towards that are anchored to past prices can be destabilizing, interaction mechanism lead complex prices; overshoot changes leads instead stability, irrespective underlying dynamics. The design set allowed compete market is thus crucial possible outcomes model. One could interpret terms sentiments, intended as one-sided systematic biases expectations.