We conduct experiments to test the collective action dilemmas associated with defensive and proactive counterterror strategies. Defensive policies are associated with creating public ‘bads’ (e.g., a commons) whereas proactive policies are akin to the voluntary provision of public goods. When...

Do crackdowns on bribery exacerbate corruption in the long run? In this paper, we observe the long-run impact of a short-term punishment institution (i.e. a crackdown) on bribery. We conduct lab experiments in two countries with cultures that differ in corruption norms, and have very different...

This chapter reviews the results from experimental measures of risk aversion for evidence of systematic differences in the behavior of men and women. In most studies, women are found to be more averse to risk than men. Studies with contextual frames show less consistent results. Whether men and...

This chapter reviews the results from public goods, ultimatum, and dictator experiments for evidence of systematic differences in the behavior of men and women. While the results do not offer consistent evidence of behavioral differences between men and women, there are some intriguing patterns...

Experimental research follows well-established procedures and design rules. Subjects are recruited to participate in a study, and report at a specified time and place. Typically subjects are undergraduate students, though if experience with a particular market or institution is thought to be an...

Vernon Smith shared the Nobel Prize in 2002 with Daniel Kahneman. This article surveys Smith's contributions to economics. His early efforts led to greater understanding of markets and market institutions, which developed into important contributions to the design of new markets. Subsequent...

Abstract: The authors describe a classroom game that introduces the concept of compensating wage differentials by allowing students to negotiate over the assignment of jobs and wages. Two jobs are designed so that neither job requires special skills, but one is significantly more unpleasant than...

In Economics and Psychology: A Promising New Cross-disciplinary Field, Bruno S. Frey and Alois Stutzer have compiled a series of papers exploring the boundaries between the two fields. The volume consists of survey chapters and original contributions on specific topics. All but one of the...

Camerer and Hogarth have produced an insightful review of the thorny issue of financial incentives in experiments. It is much more than a survey, and proposes an intriguing capital/labor theory of decisions in experiments