I study experimental markets in which sellers interact with buyers who have biased beliefs about the characteristics of the product that is being sold. I examine whether such buyers can be exploited by sellers through the use of specifically designed pricing structures, as suggested by recent...

Many everyday activities are habitual. Among the most common human activities is communication. If people primarily communicate in a common-interests environment, they may form habits of truth-telling and believing messages. If they primarily communicate in a conflicting-interests environment,...

We investigate the role of sellers' commitment power in discouraging consumer search. Theoretically, lack of commitment power transforms sellers' search-deterring claims into cheap talk, eliminating sellers' ability to deter search in some market environments. However, our experiments show...

This paper reports the results from a two-person "pledge and give" experiment. Each person's endowment is private information available only to him. In the first stage, each agent informs the other about the amount he intends to give, or makes a pledge. In the second stage, each agent makes a...

To address the impact of regulation on ethical concerns of consumers, we study the example of minimum wages. In our experimental market, consumers have monopsony power, firms set prices and wages, and workers are passive recipients of a wage payment. We find that the majority of consumers...

This study explores the relationship between positive emotions and protection-motivated behaviours by focusing on the mediating role of self-efficacy and the moderating role of information security awareness. Based on a sample of 215 full-time employees from various organizations in China, the...

A large literature studies subjective beliefs about economic facts using unincentivized survey questions. We devise randomized experiments in a representative online survey to investigate whether incentivizing belief accuracy affects stated beliefs about average earnings by professional degree...

A large literature studies subjective beliefs about economic facts using unincentivized survey questions. We devise randomized experiments in a representative online survey to investigate whether incentivizing belief accuracy affects stated beliefs about average earnings by professional degree...