A new semiparametric proportional hazard rate model is proposed which extends standard models to include a dynamic specification. Two main problems are resolved in the course of this paper. First, the partial likelihood approach to estimate the components of a standard proportional hazard model...

An economic experiment involving separate sessions in 24 small, tightly knit communities reveals that trust is higher where greater trustworthiness is expected and lower variance in levels of trustworthiness is perceived. A model in which potential trusters behaviour is likened to a risky...

This paper is empirical study, using new experimental data, of repeated game strategies in trust games; its goal is to identify strategies that people use in repeated games. We develop a strategy inference method that maps observed actions to a set of best fitting unobserved repeated game...

This paper reviews the need for powerful computing facilities in econometrics, focusing on concrete problems which arise in financial economics and in macroeconomics. We argue that the profession is being held back by the lack of easy to use generic software which is able to exploit the...

The aim of this work is to explore the relationship between unemployment and fertility. The hypothesis we investigate is that unemployment affects fertility decisions by influencing individual`s expectations of future job opportunities and wage levels. A spell of unemployment may induce women to...

This paper reviews the part played by economists in organizing the British third-generation mobile-phone licence auction that concluded on 27 April 2000. It raised £22 1/2 billion ($34 billion or 2 1/2% of GNP) and was widely described at the time as the biggest auction ever. We discuss the...

A person is said to be `trust responsive` if she fulfils trust because she believes the truster trusts her. The experiment we report was designed to test for trust responsiveness and its robustness across payoff structures, and to disentangle it from other possible factors making for...

There were enormous differences in the revenues from the European third generation (3G, or UMTS) mobile-phone license auctions, from 20 Euros per capita in Switzerland to 650 Euros per capita in the U.K., though the values of the licences sold were similar. Poor auction designs in some countries...

This paper introduces a non-parametric binary classification tree approach to inferring unobserved strategies from the observed actions of economic agents. The strategies are in the form of possibly nested if-then statements. We apply our approach to experimental data from the repeated ultimatum...

This paper examines an open economy model in which equilibrium unemployment depends on capacity in the traded-goods sector. The model is estimated using U.K. quarterly data and compared with alternative concepts of equilibrium unemployment based on labour market variables (as in Layard and...