This paper presents theory and experiments to investigate how network architecture influences route-choice behavior. We consider changes to networks that, theoretically, exhibit the Pigou-Knight-Downs and Braess Paradoxes. We show that these paradoxes are specific examples of more general...

We report the results of laboratory experiments on rent-seeking contests with endogenous participation. Theory predicts that (a) contest entry and rent-seeking expenditures increase with the size of the prize and (b) earnings are equalized between the contest and the outside option. While the...

This paper investigates price competition in a segmented market. Each segment contains one seller and one consumer, and consumers incur transportation costs when they buy from a seller located in another segment. We consider several competing theoretical solutions to this game and compare the...

We investigate parochial altruism, the combination of in-group altruism and out-group hostility, in an experimental conflict game preceded by a prisoner’s dilemma. Our data are consistent with parochial altruism, but cannot be explained by in-group pro-sociality or out-group hostility alone.

An extensive literature demonstrates the existence of framing effects in the laboratory and in questionnaire studies. This paper reports new evidence from a natural field experiment using a subject pool one might expect to be particularly resistant to such effects: experimental economists. We...