This chapter surveys literature on experimental law and economics. Long the domain of legally minded psychologists and criminologists, experimental methods are gaining significant popularity among economists interested in exploring positive and normative aspects of law. Because this literature...

To identify dual-process reasoning in giving, we exposed experimental participants making a charitable donation to vivid images of the charity’s beneficiaries in order to stimulate affect. We hypothesized that the effect of an affective manipulation on giving would be larger when we...

With a laboratory experiment, we study the impact of buy-options and the corresponding buy-price on revenues and bidding behavior in (online) proxy-auctions with independent private valuations. We show that temporary buy-options may reduce revenues for two reasons: At low buy-prices, the...

We report experimental results on voluntary contributions to public-goods provision from situations in which parties can create institutions to impose a certain contribution level on its members. We focus on a public-goods game where the joint decisions inside the institution are made based on...

In a recent simulation study, Goodman et al. (2019) compare several methods with regard to their type I and type II error rates when considering a thick null hypothesis that includes all values that are practically equivalent to the point null hypothesis. They propose a hybrid decision criterion...

This paper presents evidence on the role of the endowment effect in shaping the risk-taking behavior of entrepreneurs, and how the potential of losing their firms lead them to take higher risks. This study uses an experimental design with 466 entrepreneurs in Cali, Colombia. Results show that...