noun
rational expectations hypothesis
An economics concept that people form expectations about the future based on all available information and economic theory, so that on average their predictions are correct.
合理的期待仮説によれば、人々は利用可能な情報をすべて使って将来を予測する。
According to the rational expectations hypothesis, people use all available information to predict the future.
Compound of 合理的 (rational) + 期待 (expectations) + 仮説 (hypothesis), a direct translation of the English economics term.