Skip to main content
SpringerLink
Log in

Experimental economics: An introduction

  • Published:
Empirica Aims and scope Submit manuscript

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

References

  • Anand, P., “Are the Preference Axioms Really Rational?”, Theory and Decision, 1987, 19.

  • Appleby, L., Starmer, C., “Theories of Individual Choice Under Uncertainty: A Review of Experimental Evidence, Past and Present”, in Hey, J., Lambert, P. (Eds.), Surveys in Economics of Uncertainty, Basil Blackwell, Oxford, 1987.

    Google Scholar 

  • Bartos, O., “Is Toughness Profitable?”, in Sauermann, H. (Ed.), Beiträge zur experimentellen Wirtschaftsforschung, Vol. 3, J. C. B. Mohr, Tübingen, 1972.

    Google Scholar 

  • Bell, D., “Regret in Decision Making under Uncertainty”, Operations Research, 1982, 30, pp. 1–27.

    Google Scholar 

  • Berg, C., Individuelle Entscheidungsprozesse: Laborexperimente und Computersimulation, Wiesbaden, 1973.

  • Berg, C., “Individual Decisions Concerning the Allocation of Resources for Projects with Uncertain Consequences”, Management Science, 1974, 21, pp. 98–105.

    Google Scholar 

  • Bolle, F., Das Problem des Optimalen Stoppens, Modelle und Experimente, Peter D. Lang, Frankfurt am Main, 1979.

    Google Scholar 

  • Bolle, F., “Learning to Make Good Predictions for the Following Value in a Time Series”, in Tietz, R., et al. (Eds.), Bounded Rational Behaviour in Experimental Games and Markets, Springer, Heidelberg, 1987.

    Google Scholar 

  • Brubaker, E., “Sixty Eight Per Cent Free Revelation and Thirty Two Per Cent Free Ride?”, in Smith, V. L. (Ed.), Research in Experimental Economics, Vol. 2, 1982, pp. 151–166.

  • Butler, D. J., Loomes, G. (1987A), Procedural Rationality in Consumer Choice: An Experimental Investigation, University of York, 1987 (mimeo).

  • Butler, D. J., Loomes, G. (1987B), Decision Difficulty and the Band of Indifference, University of York, 1987 (mimeo).

  • Chamberlin, E., “An Experimental Imperfect Market”, Journal of Political Economy, 1948, 56, pp. 95–108.

    Google Scholar 

  • Chew, S., McCrimmon, K., “Alpha-nu Choice Theory: A Generalisation of Expected Utility Theory”, University of British Columbia, Working Paper, 1979, (669).

  • Coase, R., “The Problem of Social Cost”, Journal of Law and Economics, 1960, 3, pp. 1–21.

    Google Scholar 

  • Colman, A., Game Theory and Experimental Games: The Study of Strategic Interaction, Pergamon Press, Oxford, 1982.

    Google Scholar 

  • Coppinger, V., Smith, V. L., Titus, J., “Incentives and Behaviour in English, Dutch and Sealed-Bid Auctions”, Economic Inquiry, 1980, 18, pp. 1–22.

    Google Scholar 

  • Coursey, D., Isaac, R. M., Luke, M., Smith, V. L., “Market Contestability in the Presence of Sunk Costs”, Rand Journal of Economics, 1984, 15, pp. 69–84.

    Google Scholar 

  • Coursey, D., Smith, V. L., “Price Controls in a Posted-Offer Market”, American Economic Review 1983, 73, pp. 218–221.

    Google Scholar 

  • Demsetz, H., “Why Regulate Utilities?”, Journal of Law and Economics, 1968, 11, pp. 55–65.

    Google Scholar 

  • Dobbs, I., Precision Theory: A Bayesian Analysis of Choice under Risk and Uncertainty, University of Newcastle, 1987 (mimeo).

  • Easly, D., Ledyard, J., Simultaneous Double-Oral Auction Markets, Paper presented at the Public Choice Society Meeting, Charlestown, S. C., 1979.

  • Fishburn, P., “Nontransitive Measurable Utility”, Journal of Mathematical Psychology, 1982, 26, pp. 31–67.

    Google Scholar 

  • Fouraker, L., Siegel, S., Bargaining Behaviour, McGraw-Hill, New York, 1963.

    Google Scholar 

  • Friedman, J., “An Experimental Study of Cooperative Duopoly” Econometrica, 1967, 35, pp. 379–397.

    Google Scholar 

  • Friedman, J., “On Experimental Research in Oligopoly”, Review of Economic Studies, 1969, 36, pp. 399–415.

    Google Scholar 

  • Goldstein, W., Einhorn, H., “Expression Theory and the Preference Reversal Phenomenon”, Psychological Review, 1987, 94, pp. 236–254.

    Google Scholar 

  • Grether, D., Plott, C., “Economic Theory of Choice and the Preference Reversal Phenomenon”, American Economic Review, 1979, 69, pp. 623–638.

    Google Scholar 

  • Grether, D., Plott, C., “The Effects of Market Practices in Oligopolistic Markets: An Experimental Examination of the Ethyl Case”, Economic Inquiry, 1984, 22, pp. 429–507.

    Google Scholar 

  • Grossmann, H., Entscheidungsverhalten auf unvollkommenen Märkten, Barndio & Hess, Frankfurt am Main, 1982.

    Google Scholar 

  • Hall, R., “Stochastic Implications of the Lifecycle-Permanent Income Hypothesis: Theory and Evidence”, Journal of Political Economy, 1978, 86, pp. 971–987.

    Google Scholar 

  • Hasselbarth, V., Der Geldmarkt der Bundesrepublik Deutschland. Eine experimentelle Untersuchung, Berlin, 1970.

  • Hayek, F., “The Use of Knowledge in Society”, American Economic Review, 1945, 35, pp. 519–530.

    Google Scholar 

  • Hey, J. D., “Search for Rules for Search”, Journal of Economic Behaviour and Organisation, 1982, 3, pp. 65–81.

    Google Scholar 

  • Hey, J. D. (1987A), “A Preliminary Investigation of a Large Scale Experimental Study of Optimal Consumption Under Uncertainty”, in Tietz, R., et al. (Eds.), Bounded Rational Behaviour in Experimental Games and Markets, Springer, Heidelberg, 1987.

    Google Scholar 

  • Hey, J. D. (1987B), “Still Searching”, Journal of Economic Behaviour and Organisation, 1987, 8, pp. 137–144.

    Google Scholar 

  • Hoffman, E., Spitzer, M., “The Coase Theorem: Some Experimental Tests”, Journal of Law and Economics, 1982, 25, pp. 73–98.

    Google Scholar 

  • Hoggatt, A., “Response of Paid Subjects to Differential Behaviour of Robots in Bifurcated Duopoly Games”, Review of Economic Studies, 1969, 36, pp. 417–432.

    Google Scholar 

  • Hong, J., Plott, C., “Rate Filing Policies for Inland Water Transportation: An Experimental Approach”, Bell Journal of Economics, 1982, 13, pp. 1–19.

    Google Scholar 

  • Isaac, R. M., Plott, C., “Price Controls and the Behaviour of Auction Markets: An Experimental Examination”, American Economic Review, 1981, 71, pp. 448–459.

    Google Scholar 

  • Isaac, R. M., Walker, J., Success and Failure of the Voluntary Contributions Process: Some Evidence from Experimental Economics, Paper presented at the Liberty Fund Conference on the Ethics and Economics of Charity, San Diego, 1987.

  • Kahneman, D., Tversky, A., “Prospect Theory: An Analysis of Decision Under Risk”, Econometrica, 1979, 47, pp. 263–291.

    Google Scholar 

  • Knez, P., Smith, V. L., Williams, A., “Individual Rationality, Market Rationality and Value Estimation”, American Economic Review, 1985, 75, pp. 397–402.

    Google Scholar 

  • Levin, I., Johnson, R., Davis, M., “How Information Frame Influences Risky Decisions: Between-subject and Within-subject Comparisons”, Journal of Economic Psychology, 1987, 8, pp. 43–54.

    Google Scholar 

  • Loomes, G., Systematic Violations of the Independence Axiom: Measuring and Explaining the Common Ratio Effect, University of York, 1986 (mimeo).

  • Loomes, G. (1987A), “Testing for Regret and Disappointment in Choice Under Uncertainty”, Economic Journal, Conference Supplement, 1987, 97, pp. 118–129.

    Google Scholar 

  • Loomes, G. (1987B), “Further Evidence of the Impact of Regret and Disappointment in Choice Under Uncertainty”, Economica, 1987, 55, pp. 47–62.

    Google Scholar 

  • Loomes, G., Sugden, R., “Regret Theory: An Alternative Theory of Rational Choice Under Uncertainty”, Economic Journal, 1982, 92, pp. 805–824.

    Google Scholar 

  • Loomes, G., Sugden, R., “A Rationale for Preference Reversal”, American Economic Review, 1983, 73, pp. 428–433.

    Google Scholar 

  • Loomes, G., Sugden, R., “The Importance of What Might Have Been”, in Hagen, O., Wenstop, E. (Eds.), Progress in Utility and Risk Theory, Reidel, Dordrecht, 1984, pp. 219–235.

    Google Scholar 

  • Loomes, G., Sugden, R., “Disappointment and Dynamic Consistency in Choice Under Uncertainty”, Review of Economic Studies, 1986, 53, pp. 271–282.

    Google Scholar 

  • McCrimmon, K., Smith, M. (1986A), “Imprecise Equivalences: Preference Reversals in Money and Probability”, University of British Columbia, Working Paper, 1986, (1211).

  • McCrimmon, K., Smith, M. (1986B), “Fundamental Preference Reversals”, University of British Columbia, Working Paper, 1986, (1218).

  • McCrimmon, K., Smith, M., “Transaction Reversals: Buying and Selling Lotteries”, University of British Columbia, Working Paper, 1987, (1230).

  • Machina, M., “‘Expected Utility’ Analysis Without the Independence Axiom”, Econometrica, 1982, 50, pp. 277–323.

    Google Scholar 

  • Machina, M., “The Economic Theory of Individual Behaviour Toward Risk”, Stanford University, Technical Report, 1983, (433).

  • Nemeth, C., “A Critical Analysis of Research Utilising the Prisoners Dilemma and other Mixed-Motive Games”, Journal of Conflict Resolution, 1972, 15, pp. 225–259.

    Google Scholar 

  • Packard, D. J., “Cyclical Preference Logic”, Theory and Decision, 1982, 14, pp. 415–426.

    Google Scholar 

  • Plott, C., “Externalities and Corrective Policies in Experimental Markets”, Economic Journal, 1983, 93, pp. 106–127.

    Google Scholar 

  • Plott, C., Smith, V. L., “An Experimental Examination of Two Exchange Institutions”, Review of Economic Studies, 1978, 45, pp. 133–153.

    Google Scholar 

  • Plott, C., Sunder, S., “Experimental Securities Markets”, Journal of Political Economy, 1982, 90, pp. 663–698.

    Google Scholar 

  • Prudencio, Y., “The Voluntary Approach to Externality Problems: An Experiment”, Journal of Environmental Economics and Management, 1982, 9, pp. 213–228.

    Google Scholar 

  • Pruitt, D., Kimmel, M., “Twenty Years of Experimental Gaming: Critique, Synthesis, and Suggestions for the Future”, Annual Review of Psychology, 1977, 28, pp. 363–392.

    Google Scholar 

  • Roth, A., “Laboratory Experimentation in Economics”, Economics and Philosophy, 1986, 2, pp. 245–273.

    Google Scholar 

  • Roth, A., Murnighan, J., “The Role of Information in Bargaining: An Experimental Study”, Econometrica, 1982, 50, pp. 1123–1142.

    Google Scholar 

  • Roth, A., Schoumaker, F., “Expectations and Reputations in Bargaining: An Experimental Study”, American Economic Review, 1983, 73, pp. 362–372.

    Google Scholar 

  • Samuelson, P., “Intertemporal Price Equilibrium: A prologue to the Theory of Speculation”, in: Collected Papers of P. Samuelson, Vol. II, M. I. T. Press, Cambridge, Mass., 1966, pp. 946–984.

    Google Scholar 

  • Sauermann, H. (Ed.), Beiträge zur experimentellen Wirtschaftsforschung, Vol. 2, J. C. B. Mohr, Tübingen, 1970.

    Google Scholar 

  • Sauermann, H. (Ed.), Beiträge zur experimentellen Wirtschaftsforschung, Vol. 3, J. C. B. Mohr, Tübingen, 1972.

    Google Scholar 

  • Schneider, F., Pommerehne, W., “Free-Riding and Collective Action: An Experiment in Public Microeconomics”, Quarterly Journal of Economics, 1981, 96, pp. 689–704.

    Google Scholar 

  • Selten, R., “Equal Share Analysis of Characteristic Function Experiments”, in Sauermann, H. (Ed.), Beiträge zur experimentellen Wirtschaftsforschung, Vol. 3, J. C. B. Mohr, Tübingen, 1972.

    Google Scholar 

  • Simon, H. A., “A Behavioural Model of Rational Choice”, Quarterly Journal of Economics, 1955, 69, pp. 99–118.

    Google Scholar 

  • Simon, H. A., “Theories of Decision-Making in Economics and Behavioural Science”, American Economic Review, 1959, 49, pp. 253–283.

    Google Scholar 

  • Slovic, P., Tversky, A., “Who Accepts Savages' Axiom?”, Behavioural Science, 1974, 19, pp. 368–373.

    Google Scholar 

  • Smith, V. L., “An Experimental Study of Competitive Market Behaviour”, Journal of Political Economy, 1962, 70, pp. 111–137.

    Google Scholar 

  • Smith, V. L., “Effect of Market Organisation on Competitive Equilibrium”, Quarterly Journal of Economics, 1964, 78, pp. 181–201.

    Google Scholar 

  • Smith, V. L., “Experimental Economics: Induced Value Theory”, American Economic Review, 1976, 66, pp. 274–279.

    Google Scholar 

  • Smith, V. L., “An Empirical Study of Decentralized Institutions of Monopoly Restraint”, in: Essays in Contemporary Fields in Economics, Horwich & Quirk, Purdue University Press, West Lafayette, 1981, pp. 83–106.

    Google Scholar 

  • Smith, V. L., “Markets as Economisers of Information: Experimental Examination of the Hayek Hypothesis”, Economic Inquiry, 1982, 20, pp. 165–179.

    Google Scholar 

  • Smith, V. L., “Experimental Methods in the Political Economy of Exchange”, Science, 1986, 234, pp. 167–173.

    Google Scholar 

  • Smith, V. L., Williams, A. (1981A), “On Non-Binding Price Controls in a Competitive Market”, American Economic Review, 1981, 71, pp. 467–474.

    Google Scholar 

  • Smith, V. L., Williams, A. (1981B), The Boundaries of Competitive Price Theory, Paper presented at the Public Choice Society Meeting, New Orleans, La., 1981.

  • Smith, V. L., Williams, A., “The Effects of Rent Asymmetries in Experimental Auction Markets”, Journal of Economic Behaviour and Organisation, 1982, 3, pp. 99–116.

    Google Scholar 

  • Sugden, R., “New Developments in the Theory of Choice Under Uncertainty”, Bulletin of Economic Research, 1986, 38, pp. 1–24.

    Google Scholar 

  • Tietz, R., Weber, H., “On the Nature of the Bargaining Process in the Kresko Game” in Sauermann, H. (Ed.), Beiträge zur experimentellen Wirtschaftsforschung, Vol. 3, J. C. B. Mohr, Tübingen, 1972.

    Google Scholar 

  • Tullock, G., “The Rationality of Transitivity”, Oxford Economic Papers, 1964, 16, pp. 401–406.

    Google Scholar 

  • Tversky, A., “Intransitivity of Preferences”, Psychological Review, 1969, 76, pp. 31–48.

    Google Scholar 

  • Tversky, A., Kahneman, D., “Rational Choice and the Framing of Decisions”, Journal of Business, Special Supplement, 1986, 59, pp. 251–278.

    Google Scholar 

  • Vickrey, W., “Counterspeculation, Auctions and Competitive Sealed Tenders”, Journal of Finance, 1961, 16, pp. 8–37.

    Google Scholar 

  • Wilde, L., “On the Use of Laboratory Experiments in Economics”, in Pitt, J. (Ed.), Philosophy in Economics, Reidel, Dordrecht, 1981, pp. 137–148.

    Google Scholar 

  • Williams, A., “Intertemporal Competitive Equilibrium: On Further Experimental Results”, in Smith, V. L. (Ed.), Research in Experimental Economics, Vol. 1, 1979, pp. 255–278.

  • Williams, A., “The Formation of Price Forecasts in Experimental Markets”, Journal of Money, Credit and Banking, 1987, 19, pp. 1–18.

    Google Scholar 

  • Williams, A., Smith, V. L., “Cyclical Double-Auction Markets With and Without Speculators”, Journal of Business, 1984, 57, pp. 1–33.

    Google Scholar 

  • Williams, F., “The Effect of Market Organisation on Competitive Equilibrium: The Multi-Unit Case”, Review of Economic Studies, 1973, 40, pp. 97–113.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Centre for Experimental Economics Department of Economics and Related Studies, University of York, Heslington, Y01 5DD, York, England

    David J. Butler & John D. Hey

Authors
  1. David J. Butler
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. John D. Hey
    View author publications

    You can also search for this author in PubMed Google Scholar

Additional information

Our thanks to Graham Loomes for his many helpful comments and ideas contained in this paper, and to Paul Anand and two anonymous referees for other valuable suggestions. The usual disclaimers apply.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Butler, D.J., Hey, J.D. Experimental economics: An introduction. Empirica 14, 157–186 (1987). https://doi.org/10.1007/BF00924954

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF00924954

Search

Navigation