We examine whether a simple agent--based model can generate asset price bubbles and crashes of the type observed in a series of laboratory asset market experiments beginning with the work of Smith, Suchanek and Williams (1988). We follow the methodology of Gode and Sunder (1993, 1997) and...

This paper compares alternative methods for approximating and solving the stochastic growth model with parameterized expectations. We compare polynomial and neural netowork specifications for expectations, and we employ both genetic algorithm and gradient-descent methods for solving the...

This paper compares three approximation methods for solving and simulating real business cycle models: linear quadratic (including log- linear quadratic) methods, the method of parameterized expectations, and the genetic algorithm. Linear quadratic (LQ), log-linear quadratic (log- LQ) and...

This paper considers the relationship between agent-based modeling and economic decision-making experiments with human subjects. Both approaches exploit controlled ``laboratory'' conditions as a means of isolating the sources of aggregate phenomena. Research findings from laboratory studies of...

We explore whether natural human competitiveness can be exploited to stimulate charitable giving in a controlled laboratory experiment involving three different treatments of a sequential ``dictator game.'' Without disclosing the actual amounts given and kept, in each period players are publicly...

Many internet auction sites implement ascending-bid, second-price auctions. Empirically, lastminute or “late” bidding is frequently observed in “hard-close” but not in “soft-close” versions of these auctions. In this paper, we introduce an independent private-value repeated internet...