We analyse behavior in lottery choice problems that assign payoffs to the decision maker and one other subject. Lotteries are based on randomly generated 2x2 games where the column player’s choice is replaced by a draw from an urn. We find that the vast majority of subjects displays behavior...

In this paper we provide textual evidence on the sophistication of medieval deterrence strategies. Drawing on one of the great opera librettos based on medieval sources, Wagner's Tannhäuser, we shall illustrate the use of optimal randomization strategies that can be derived by applying notions...

Do donors examine a single ask to donate in isolation or do they consider that other and future asks may come along? In the first year of our field experiment, we vary whether or not potential donors are informed that the ask will be repeated in the following year. This information has dramatic...

This report was commissioned by the Office of Fair Trading (OFT) from London Economics in association with Steffen Huck and Jidong Zhou (University College London). It examines the implications of consumer behavioural biases for firms' decisions and hence for competitive equilibria. Consumer...

This study tries to enlarge the scope of law and economics by providing an example that legal institutions do not only have short-run effects on present behavior by changing the cost-benefit relation of different actions but can also drive the evolution of preferences. Therefore, legal design...

We analyze the dynamics of neighborhood watch programs in a local interaction framework. Agents can watch their neighbors' houses and, thus, deter burglars from breaking in. At the same time, agents also try to recruit their neighbors to join the neighborhood watch program. The probability of an...

In an artefactual field experiment, we implemented a crowdfunding campaign for an institute’s summer party and compared donation and contribution framings. We found that the use of the word ‘donation’ generated higher revenue than the use of ‘contribution.’ While the individuals...