An zahlreichen Wertpapiermärkten, an denen Aktien und Optionen gehandelt wer-den, sind professionelle Händler beauftragt, kontinuierlich verbindliche Kauf- und Verkaufsangebote an potentielle Nachfrager zu geben, um für alle interessierten Marktteilnehmer jederzeit einen sofortigen...

This paper presents a classroom experiment where students participate in a simulated futures market. This experiment can be run in about an hour and allows students to interact, negotiate, try different strategies, see how their accounts are closed, and observe how spot and futures markets...

This paper studies strategic default using an experimental approach. The experiment considers a stochastic asset process and a loan with no down-payment. The treatments are two asset volatilities (high and low) and the absence and presence of social interactions via a direct effect on the...

The prediction market literature proposes that markets efficiently incorporate all available information. In contrast, behavioral finance assumes individual decision-making biases affect financial markets. We examine both using Iowa Electronic Market (IEM) data. We ask whether markets appear...