We design a laboratory experiment to test the importance of wealth as a channel for financial contagion across markets … markets, which allows us to disentangle the wealth effect from other sources of financial contagion. We provide evidence of … contagion due to a wealth effect when investors have completely diversified portfolios. In this treatment, for certain ranges of …

This book shows how to combine game theory and option pricing in order to analyze dynamic multiperson decision problems … latter can be addressed by game theory. The text shows how both instruments can be combined and how game theory can be … serving as a guide to stochastic game theory modelling in continuous time, the text contains numerous applications to the …