We integrate theory and experimental evidence to study the emergence of different international monetary arrangements based on the circulation of two intrinsically worthless fiat currencies as media of exchange. Our framework is based on a two-country, two-currency search model where the value...

We study cooperation among individuals and groups facing a dynamic social dilemma in which the benefits of cooperation are divided according to political power obtained in a contest. The main theoretical and experimental results focus on the role of the incumbency advantage. Specifically, an...

We aim to understand the role and evolution of beliefs in the indefinitely repeated prisoner's dilemma (IRPD). To do so, we elicit beliefs about the supergame strategies chosen by others. We find that heterogeneity in beliefs and changes in beliefs with experience are central to understanding...

Social and political inequality among individuals is a common driving force behind the breakdown in cooperation. In this paper, we theoretically and experimentally study cooperation among individuals faced with a sequence of collective-action problems in which the benefits to cooperation are...

We aim to understand the role and evolution of beliefs in the indefinitely repeated prisoner’s dilemma (IRPD). To do so, we elicit beliefs about the supergame strategies chosen by others. We find that heterogeneity in beliefs and changes in beliefs with experience are central to understanding...

We aim to understand the role and evolution of beliefs in the indefinitely repeated prisoner's dilemma (IRPD). To do so, we elicit beliefs about the supergame strategies chosen by others. We find that heterogeneity in beliefs and changes in beliefs with experience are central to understanding...