We investigate the effects of heterogeneity, incomplete information and communication on aggregate contributions to a public good using the voluntary contribution mechanism in a nonlinear laboratory environment. One-dimensional heterogeneity (heterogeneity in income or preferences) and...

The controlled laboratory experiment is spreading rapidly as a method for evaluating theories of economic behaviour and policy prescriptions. Environmental regulation is an area that is ripe for laboratory investigation. This paper presents insights drawn from the existing literature using...

We replicate and extend an experiment due to Walker and Gardner by investigating the effect of communication in a common pool resource subject to probabilistic destruction when group appropriation exceeds a safe zone. We replicate the Gardner and Walker result that destruction of the resource is...

Many economic decisions are susceptible to either free-riding, or excessive rivalry or overextraction. Equally sharing output in partnerships introduces a free-riding incentive which may offset the latter. We conduct a laboratory experiment to assess the performance of output sharing in...

Our study examines whether combining experimental economics and economics psychology techniques can provide a better understanding of individuals’ tax compliance decisions in the laboratory. We find that considering individuals’ attitudinal, personality and intention measures in addition to...

This paper investigates the ability of ambient pollution instruments to induce a group of heterogeneous agents to choose a target outcome. Six controlled laboratory sessions were conducted with heterogeneous agents facing ambient pollution instruments with lump sum or proportional fines and...

Two approaches to emissions trading are cap-and-trade, in which an aggregate cap on emissions is distributed in the form of permits, and baseline-and-credit, in which firms earn credits for emissions below their baselines. Theoretical considerations suggest the long-run equilibria of the two...

This paper applies experimental methods to evaluate the completeness of arbitrage and rate of return parity in simultaneous asset markets in which the assets are denominated in different currencies. Two assets, which return uncertain, but known, dividends in each trading period, are traded over...

The results of twenty-four laboratory sessions are evaluated with respect to the role of alternative definitions of equity when communication is introduced into an environment in which voluntary contributions determine the level of public good provision to small groups of individuals....