We test core theories of the household using variants of a public good game and experimental data from 240 couples in rural Uganda. Spouses do not maximise surplus from cooperation and realise a greater surplus when women are in charge. This violates assumptions of unitary and cooperative...

Honkapohja and Mitra (2003) have analyzed the desirability of optimal and ad hoc interest rules in monetary policy when the forecasts of the private sector and the central bank are heterogenous but information is symmetric. Here we analyze the case of asymmetric information in which one party...

This paper analyzes the impact of three termination rules for repeated- game experiments. We compare treatments with a known finite end, an unknown end and two variants with a random termination rule. The termination rules do not significantly eect cooperation rates.

This paper reviews experiments in macroeconomics, pointing out the theoretical justifications, the strengths and weaknesses of this approach. We identify two broad classes of experiments: general equilibrium and single-issue experiments, and emphasize the idea of theory testing that is behind...

The celebrated ecological economist Herman Daly asked "Is there no a neglected connection between the environment and the macroeconomics we teach? If there is no such thing as environmental macro in our textbooks, should there be? If so what should it look like?". Emphasising the need to breach...

Evidence is presented that the self employed expect better financial outcomes than do employees but experience worse realisations. This is consistent with theories that entrepreneurship is driven by unrealistic optimism.

This paper uses wage records to examine salaries and career tracks in the English banking industry between 1890 and 1918. The main conclusions are as follows. First, unlike manufacturing and a number of other sectors, which experienced increasing wages prior to the First World War, real wages in...

This paper studies the role of dynamic risk sharing in a world where agents have private information about their incomes, and in which their storage activities can be monitored at a cost. A principal offers long-term, full-commitment contracts to the agents, promising them consumption smoothing...

An economy exhibits structural heterogeneity when the forecasts of di?erent agents have different effects on the determination of aggregate variables. We study the important case of economies in which agents’ behavior depends on forecasts of aggregate variables and show how di?erent forms of...

In this paper I consider the following problem: there is a collection of exogenously given socially feasible sets, and for each one of them, each one of a group of individuals chooses from an individually feasible set. The fact that the product of the individually feasible sets is larger than...