There is growing awareness within the economics profession of the important role narratives play in the economy. Even though empirical approaches that try to quantify economic narratives are getting increasingly popular, there is no theory or even a universally accepted definition of economic...

The economic geography literature distinguishes between two types of reasons for economic agglomeration. Regional concentration of economic activity can be attributed to 'first nature' meaning geographic advantages and disadvantages given by nature or to 'second nature' meaning agglomeration...

Das autonome Autofahren wird als einer der Treiber für einen radikalen Umbruch in der Automobilbranche und im Verkehrssystem gesehen. Gemessen an der Zahl der Patente zählt Deutschland nach allgemeiner Ansicht dabei zu den Technologieführern. Mit den neuen Technologien wird sich aber nicht...

Residential choice does not only depend on properties of the dwelling, neighbourhood amenities and affordability, but is also affected by the population composition within a neighbourhood. All these attributes are capitalised in the house price. Empirically, it is not easy to disentangle the...

This paper sketches the history of behavioral macroeconomics and presents four current approaches in the literature: the ad hoc behavioral approach, partial behavioral macroeconomic models, experimental macroeconomics, and behavioral DSGE models. Much of this literature is still patchwork, with...

Identifying narratives in texts is a challenging task, as not only narrative elements such as the factors and events have to be identified but their semantic relation has to be explained as well. Despite this complexity, an effective technique to extract narratives from texts can have a great...

Previous experimental investigations have shown that expectations are not perfectly rational due to bias. Traditional adaptive models, however, in many cases do not perfectly describe the formation of expectations either. This paper makes two contributions to the experimental literature on the...

In this paper we report the results of a laboratory experiment, in which we observed the behavior of agents in a simple macroeconomic setting. The structure of the economy was only partially known to the players which is a realistic feature of our experiment. We investigate whether subjects...

We design an experiment to investigate the influence of announced future variations in interest rates and prices on consumption decisions. In an experimental implementation of the discounted utility model, the subjects learn the entire paths of inflation and interest rates prior to deciding on a...

In a coordination game with Pareto-ranked equilibria, we study whether a sunspot can lead to either coordination on an inferior equilibrium (mis-coordination) or to out-of equilibrium behavior (dis-coordination). While much of the literature searches for mechanisms to attain coordination on the...