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Experimental Methods for the General Economist: Five lessons from the Lab

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  • Douglas D. Davis

    (Department of Economics, VCU School of Business)

Abstract

I review a series five primary results from experimental economics that impact on the economics profession as a whole. These results regard the relative (un)importance of subject sophistication in laboratory markets, the importance of gender on economic outcomes, the propensity for humans to behave in less than fully rational ways, the importance of trading institutions on economic performance and the behavioral relevance of economic theory. In overview, I find that economics as a profession has benefited from the use of experimental methods by fostering a dialogue between theorists and empiricists, better informing policy and improving data collection techniques.

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  • Douglas D. Davis, 2016. "Experimental Methods for the General Economist: Five lessons from the Lab," Working Papers 1601, VCU School of Business, Department of Economics.
    • Handle: RePEc:vcu:wpaper:1601
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    References listed on IDEAS

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    8. Eckel, Catherine C. & Grossman, Philip J., 2008. "Differences in the Economic Decisions of Men and Women: Experimental Evidence," Handbook of Experimental Economics Results, in: Charles R. Plott & Vernon L. Smith (ed.), Handbook of Experimental Economics Results, edition 1, volume 1, chapter 57, pages 509-519, Elsevier.
    9. Shobe, William & Palmer, Karen & Myers, Erica & Holt, Charles & Goeree, Jacob & Burtraw, Dallas, 2010. "An Experimental Analysis of Auctioning Emission Allowances Under a Loose Cap," Agricultural and Resource Economics Review, Cambridge University Press, vol. 39(2), pages 162-175, April.
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    11. Alm, James & Cherry, Todd L. & Jones, Michael & McKee, Michael, 2012. "Social programs as positive inducements for tax participation," Journal of Economic Behavior & Organization, Elsevier, vol. 84(1), pages 85-96.
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    19. Levitt, Steven D. & List, John A., 2009. "Field experiments in economics: The past, the present, and the future," European Economic Review, Elsevier, vol. 53(1), pages 1-18, January.
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    Cited by:

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    2. Pecorino Paul & Van Boening Mark, 2019. "Costly Voluntary Disclosure in a Signaling Game," Review of Law & Economics, De Gruyter, vol. 15(2), pages 1-32, July.

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