This paper reports on an experimental test of the Principle of Optimality in dynamic decision problems. This Principle, which states that the decision-maker should always choose the optimal decision at each stage of the decision problem, conditional on behaving optimally thereafter, underlies...

Much experimental effort has been expended in attempts to establish the relative superiority of Expected Utility theory and the many recently-developed alternatives as descriptions of the behaviour of subjects in risky choice decision problems. The cumulative evidence shows clearly that there is...

This paper represents an intersection between two lines of research. The first is portfolio choice theory, which underlies much of finance; the second is the elicitation of preferences under uncertainty. The theory of the behaviour of financial markets builds heavily on portfolio choice theory;...

The random lottery incentive (RLI) mechanism (which involves subjects taking many decisions, only a randomly chosen one of which determines the payment to the subject) is widely used in many experiments, and hence its validity is of crucial importance to the inferences that can be drawn from the...

<Para ID="Par1">This paper identifies, and tests experimentally, a prediction of the Nash bargaining axioms that may appear counterintuitive. The context is a simple bargaining problem in which two players have to agree a choice from three alternatives. One alternative favours one player and a second favours...</para>

<Para ID="Par1">This is an account of my work on experimental economics over the years. Copyright Springer Science+Business Media New York 2014

Representing ambiguity in the laboratory using a Bingo Blower (which is transparent and not manipulable) and asking the subjects a series of allocation questions, we obtain data from which we can estimate by maximum likelihood methods (with explicit assumptions about the errors made by the...

A constitution is a collection of principles or axioms determining how society should be organized and a description of the ordering of the axioms in terms of their importance and invocation. We report on an exploratory experiment aimed at discovering preferred axioms relating to the...