We describe a common pool resource game in which players choose how much of the stock to extract in a sequential manner. There are two choices and one represents taking a larger proportion of the stock than the other. After a player makes a choice, the remaining stock grows at a constant rate....

This paper presents evidence that the willingness to punish an unfair action is sensitive to whether this action was preceded by a deceptive message. One player first sends a message indicating an intended play, which is either favorable or unfavorable to the other player in the game. After the...

We study the relation between the number of firms and price-cost margins under price competition with uncertainty about competitors' costs. We present results of an experiment in which two, three and four identical firms repeatedly interact in this environment. In line with the theoretical...

Moral considerations may matter much in voting because the costs of expressing support for a morally worthy cause may be low in a referendum. These costs depend on whether a voter expects to affect the outcome of the referendum. To test the low-cost theory of expressive voting, we experimentally...

In the conventional theory of common-pool resources, participants do not undertake efforts to design their own governance arrangements. Substantial empirical evidence exists, however, that many common-pool resources are self-governed. Thus, in this chapter, I briefly review the conventional...

One of the problems with proposals for substantialinstitutional change in water systems is thatmodification and irreversibility make the processslow, cautious and costly to society. In this paper,we discuss the role that experimental economics canplay in evaluating proposed institutional changes...

The conventional wisdom holds that standing committees and subcommittees gain disproportionate influence over the policy decisions for which they have agenda control. Two solution concepts which make predictions about the influence of decentralized agenda setters are the structure-induced...

This paper reports data for coordination game experiments with random matching. The experimental design is based on changes in an effort-cost parameter, which do not alter the set of Nash equilibria, nor do they alter the predictions of dynamic adjustment theories based on imitation or best...

We study how professional players and college students play zero-sum two-person strategic games in a laboratory setting. We first ask professionals to play a 2x2 game that is formally identical to a strategic interaction situation that they face in their natural environment. Consistent with...

Estimates of agents' risk aversion dier between market studies and experimental studies. We demonstrate that the estimates can be reconciled through consistent treatment of agents' tendency for narrow framing, regarding integration of background wealth as well as across risky outcomes: Risk...