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Polities differ in the extent to which political parties can pre-commit to carry out promised policy actions if they take power. Commitment problems may arise due to a divergence between the ex ante incentives facing national parties that seek to capture control of the legislature and the ex...
Persistent link: https://www.econbiz.de/10012467285
We provide a comprehensive assessment of leading monetary policy frameworks away from and at the ELB. Inflation targeting, dual mandate, average inflation targeting under 4- and 10-period horizons, price level targeting, and nominal GDP level targeting are evaluated in a laboratory setting....
Persistent link: https://www.econbiz.de/10013435092
contrast the performance of lower ability participants and higher ability participants in an experiment with three distribution … greater preference for equal sharing and concern about cooperation in chatting about the teams' compensation system than …
Persistent link: https://www.econbiz.de/10013388782
We experimentally study unanimity and majority voting rules in multilateral bargaining environments with stochastic future surplus. In these settings, reaching agreement when expected future surplus is sufficiently higher than the current surplus is inefficient. Theoretically, such...
Persistent link: https://www.econbiz.de/10013388790
We design a new experimental framework to study policy interventions to combat secular stagnations and liquidity traps in an overlapping-generations environment where participants form expectations and make real economic decisions. We observe that participants can learn to coordinate on high...
Persistent link: https://www.econbiz.de/10013334336
Coordination is central to social interactions. Theory and conventional lab experiments suggest that cheap talk … agricultural cooperatives seek to jointly sell their output. Combining artefactual/lab-in-the-field experiments (LFEs), natural … field experiments (RCTs), surveys, and cooperative records, we find that (1) revealing farmers' intended sales (i.e., cheap …
Persistent link: https://www.econbiz.de/10012479993
, it induces preference-concordant rankings. However, recent evidence shows that--in both real, large-stakes applications … and experiments--participants frequently play seemingly dominated, significantly costly, strategies that avoid small …
Persistent link: https://www.econbiz.de/10012480338
experiments provide general support for the strategic rationale behind the role of commitment and, more specifically, for the …
Persistent link: https://www.econbiz.de/10012480348
for instrumental purposes. We then present an experiment that tests these ideas in the laboratory and finds support for …
Persistent link: https://www.econbiz.de/10012481495
In SIR models, infection rates are typically exogenous, whereas individuals adjust their behavior in reality. City-level data across the globe suggest that mobility falls in response to fear, proxied by Google searches. Incorporating experimentally validated measures of social preferences at the...
Persistent link: https://www.econbiz.de/10012481717