Markets for expert services are characterized by information asymmetries between experts and consumers. We analyze the effects of consumer information, where consumers suffer from either a minor or serious problem and only experts can infer the appropriate treatment. Consumer information is a...

Tradable development rights (TDR) are discussed as a means of containing urban sprawl in numerous countries. Despite its theoretical superiority in ensuring an efficient redistribution of planning rights, its applicability is concerned with several open questions and potential problems....

We develop a two-period generalized beauty contest to study the optimal level of publicity when disclosed information is subject to multiplier effects. We build upon the static case, where all agents receive a private signal about an unknown fundamental state and only a fraction of all agents...

Tradable development rights (TDR) are discussed as a mechanism to reduce land consumption while ensuring an efficient implementation of profitable building projects. We present a novel laboratory experiment on the feasibility of TDR and simulate the acquisition and trading of development rights....

Biased forecasts, particularly the inadequate adjustment from current values and excessive clustering, are increasingly explained as resulting from anchoring. However, experiments presented in support of this interpretation lack economic conditions, particularly monetary incentives, feedback for...

This paper experimentally investigates social learning in a two-agent prediction game with both exogenous and endogenous ordering of decisions and a continuous action space. Given that individuals regularly fail to apply rational timing, we refrain from implementing optimal timing of decisions...