I report the results of nine experimental asset market sessions. The traded assets were contingent claims on two "states" with known state probabilities and identical aggregate payoffs across states. Since subjects could diversify away all idiosyncratic risks, this results in prices predicted to...

Risk preference inducing lottery procedures can serve as valuable tools for experimental economists. However, questioning their effectiveness, experimenters may avoid them even when predictions and conclusions depend crucially on risk preferences. Here, I review risk preference induction...

Here, I solve a general equilibrium, stochastic, dynamic control problem. In it, an agent who owns a productive asset decides how much of a non-storable good to consume and how much to invest in research and development. Combined, two features distinguish this from previous work. First, the...