We examine decision-making under risk and uncertainty in a laboratory experiment. The heart of our design examines how one’s propensity to use Bayes’ rule is affected by whether this rule is aligned with reinforcement or clashes with it. In some cases, we create environments where...

We study, theoretically and experimentally, sealed-bid first-price auctions with and without package bidding. In the model, a global bidder bids for multiple items and can benefit from synergies, while local bidders bid for a single item. In the equilibrium, package bidding improves (hurts)...

Frontmatter -- Contents -- Preface -- List of Contributors -- 1. Introduction to Experimental Economics -- 2. Public Goods: A Survey of Experimental Research -- 3. Coordination Problems -- 4. Bargaining Experiments -- 5. Industrial Organization: A Survey of Laboratory Research -- 6. Experimental...