Open Access
Experimental and Behavioral Economics
TLDR
The course as discussed by the authors provides an introduction into the techniques of experimental economics and applies these techniques to important research questions in different fields of economics and at the end of the course students should be able to design and run their own experiments examining their preferred questions.Abstract:
This course provides an introduction into the techniques of experimental economics and applies these techniques to important research questions in different fields of economics. At the end of the course students should be able to design and run their own experiments examining their preferred questions. I assume that students have a basic knowledge of microeconomic theory and game theory at the level of, for example, Hal Varian’s advanced textbook on “Microeconomic Analysis” and Robert Gibbons’ textbook on “Game Theory for Applied Economists”. Course requirements are Micro I (14.121) and Micro II (14.122). The course consists of 12 lectures. The course will take place on the following Wednesdays from 4-7 p.m.: Sept 15, Sept 22, Sept 29, Oct 6, Oct 13. In addition, there will also be a course on Friday, September 24 from 9-12 a.m. The course takes place at MIT in room E51-372. On the following pages you will find a short outline of the course, a description of your tasks and a reference list. I strongly recommend that students read the articles with an asterisk.read more
Citations
More filters
Journal ArticleDOI
The empirical evidence against neoclassical utility theory: a review of the literature
Mehmet Karaçuka,Asad Zaman +1 more
TL;DR: This article summarise some of the main contradictions between predictions of utility theory and actual human behaviour, and suggest that a paradigm shift is required to resolve these contradictions within orthodox frameworks, but it appears likely that a shift is needed.
Journal ArticleDOI
The effect of thinking style on dynamic systems performance: The mediating role of stock-flow understanding
TL;DR: Two studies indicate that rational thinking in chronic and situational forms improves stock-flow understanding and performance in dynamic systems.
References
More filters
Journal ArticleDOI
A theory of fairness, competition and cooperation
Ernst Fehr,Klaus M. Schmidt +1 more
TL;DR: This paper showed that if some people care about equity, the puzzles can be resolved and that the economic environment determines whether the fair types or the selesh types dominate equilibrium behavior in cooperative games.
Journal ArticleDOI
A Theory of Fairness, Competition and Cooperation
TL;DR: This article showed that if a fraction of the people exhibit inequality aversion, stable cooperation is maintained although punishment is costly for those who punish, and they also showed that when they are given the opportunity to punish free riders, stable cooperations are maintained.
Journal ArticleDOI
ERC: A Theory of Equity, Reciprocity, and Competition
Gary E. Bolton,Axel Ockenfels +1 more
TL;DR: The authors demonstrate that people are motivated by both their pecuniary payoff and their relative payoff standing, and demonstrate that a simple model, constructed on the premise that people were motivated by either their payoff or their relative standing, organizes a large and seemingly disparate set of laboratory observations as one consistent pattern, which explains observations from games where equity is thought to be a factor, such as ultimatum and dictator, games where reciprocity is played a role and games where competitive behavior is observed.
Posted Content
Incorporating Fairness into Game Theory and Economics
TL;DR: In this article, it is shown that every mutual-max or mutual-min Nash equilibrium is a fairness equilibrium, and that if payoffs are small, fairness equilibria are roughly the set of mutualmax and mutualmin outcomes; if payoff are large, fairness equilibrium are roughly a set of Nash equilibra.
Journal ArticleDOI
Effects of Externally Mediated Rewards on Intrinsic Motivation.
TL;DR: Vroom et al. as mentioned in this paper investigated the effects of external rewards on intrinsic motivation to perform an activity and found that when money was used as an external reward, intrinsic motivation tended to decrease, whereas when verbal reinforcement and positive feedback were used to increase.