We experimentally investigate the effect of a central bank buying bonds for cash in a quantitative easing (QE) operation. In our experiment, the bonds are perfect substitutes for cash and have a constant fundamental value which is not affected by QE in the rational expectations equilibrium. We...

The random Incentive System (RIS) is a standard method to incentivize participants in economic experiments. However, recent theoretical studies point out the possibility of its failure under ambiguity. We propose a modification of RIS, named independent RIS (I-RIS), to improve its reliability....

This study experimentally evaluates the performance of partial equilibrium mechanisms when different sectors run their mechanisms separately, despite the existence of complementarity between them.In our simple laboratory experiment setting that includes two sectors, each sector runs the...

In this paper, we reexamine a bias revealed by Kunz et al. (2017) regarding structured financial products known as barrier reverse convertibles (BRCs) with worst-of payout characteristics. Namely, using a nonincentivized survey of investor risk perceptions, Kunz et al. (2017) found that when...

We summarize the experimentally measured characteristics of the registered participants of the experiments conducted at the Institute of Social and Economic Research, Osaka University. Measured characteristics include fluid intelligence, risk preference (risk aversion, prudence, and temperance),...

In this paper we experimentally compare three implementations of Winter demand commitment bargaining mechanism: a one-period implementation, a two-period implementation with low and with high delay costs. Despite the different theoretical predictions, our results show that the three different...

We experimentally examine the impact of a cycle path on the trading of a copyable information good in networks. A cycle path in a network permits a buyer to become a reseller that can compete against existing sellers by replicating the good. Theory predicts that the price of the information...

We investigate the effect of preannounced market intervention on an asset price as well as participants' welfare in an experimental framework where participants have consumption smoothing motives to trade the asset. The results show that, on one hand, the preannounced intervention results in...

We compare the performance of financial professionals (CFAs) with university students in four financial forecasting tasks ranging from simple lab prediction tasks to longitudinal field tasks. Although students and professionals performed similarly in the artificial forecasting tasks, their...

We address a concern about the external validity, in particular, the representativeness of the sampled population, of an experiment conducted with university students. We do so by conducting large-scale (partly) incentivized online surveys of students at a Japanese university and of a sample of...