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on Experimental Economics |
| By: | Kenju Kamei (Faculty of Economics, Keio University); Katy Tabero (Department of Economics, University of Southampton) |
| Abstract: | It is well-known that efficiency often fails to improve in public goods games with peer-to-peer punishment when counter-punishment is possible. This paper experimentally demonstrates, for the first time, that the effects of sanctioning institutions are modest, regardless of the decision-making format (individual or team). In the “team†conditions, subjects are randomly assigned to teams of three, and make joint decisions through communication. Their dialogue provides valuable insights into the motivations behind (counter-)punishment, as well as the resulting behavioral effects. A coding exercise reveals that first-order punishments (and counter-punishments) are primarily emotional responses to peers’ low contributions (and first order punishments, respectively). |
| Keywords: | experiment, public goods game, punishment, counter-punishment |
| JEL: | C92 D01 H49 |
| Date: | 2025–08–26 |
| URL: | https://d.repec.org/n?u=RePEc:keo:dpaper:dp2025-019 |
| By: | Dong, Sarah (Australian National University); Satyadini, Agung (Australian National University); Sinning, Mathias (Australian National University) |
| Abstract: | Both theory and evidence suggest an ambiguous relationship between business tax compliance and geographic proximity to tax offices. We study this issue using a large-scale natural field experiment with Indonesia’s tax authority involving 12, 000 micro, small, and medium enterprises (MSMEs). Businesses were randomly assigned to receive deterrence, information, or public goods letters, or no message. All letters improved compliance, with deterrence messages producing the largest gains - substantially increasing filing rates and raising monthly tax payments. Each dollar spent on deterrence letters generated about US$30 in additional revenue over the course of a year. We observe high compliance among non-treated MSMEs near metropolitan tax offices and find that enforcement messages successfully raise compliance in non-metropolitan regions to comparable levels. However, targeting already compliant MSMEs near metropolitan tax offices backfires, underscoring the need for geographically tailored tax administration strategies. These results provide novel experimental evidence on the relation between geographic proximity and the effectiveness of tax enforcement, helping to reconcile mixed findings in the tax compliance literature. |
| Keywords: | behavioral insights, natural field experiment, tax compliance |
| JEL: | C93 D90 H25 H26 |
| Date: | 2025–09 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18108 |
| By: | Bruno Ferman; Lucas Finamor |
| Abstract: | Quantitative research relies heavily on coding, and coding errors are relatively common even in published research. In this paper, we examine whether individuals are more or less likely to check their code depending on the results they obtain. We test this hypothesis in a randomized experiment embedded in the recruitment process for research positions at a large international economic organization. In a coding task designed to assess candidates' programming abilities, we randomize whether participants obtain an expected or unexpected result if they commit a simple coding error. We find that individuals are 20% more likely to detect coding errors when they lead to unexpected results. This asymmetry in error detection depending on the results they generate suggests that coding errors may lead to biased findings in scientific research. |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2508.20069 |
| By: | Garcia-Couto, Santiago; Gomez, Jose Maria Ortiz |
| Abstract: | This paper examines task rotation as a non-monetary incentive to boost workers’ performance. While financial incentives are often effective in enhancing productivity, they may be less feasible in environments such as public administrations, where job security and rigid compensation structures limit their impact. Using a controlled experiment, participants were randomly assigned to one of two main treatments and divided into workers and managers. In the baseline treatment, workers received a fixed payment to complete one of two tasks: (i) finding letters or (ii) adding numbers. Managers, who had no assigned tasks, earned their payoff based on the workers' performance. In the Competitive Rotation Treatment (CRT), workers competed for the opportunity to choose their preferred task. The findings show that performance-based task rotation significantly increases productivity and maintains this improvement over time. Additionally, top-performing workers often remained in their tasks, fostering more stable group dynamics. |
| Date: | 2025–09–10 |
| URL: | https://d.repec.org/n?u=RePEc:osf:socarx:3wjey_v1 |
| By: | Masahiro Kato |
| Abstract: | This study investigates adaptive experimental design for treatment choice, also known as fixed-budget best-arm identification. We consider an adaptive procedure consisting of a treatment-allocation phase followed by a treatment-choice phase, and we design an adaptive experiment for this setup to efficiently identify the best treatment arm, defined as the one with the highest expected outcome. In our designed experiment, the treatment-allocation phase consists of two stages. The first stage is a pilot phase, where we allocate each treatment arm uniformly with equal proportions to eliminate clearly suboptimal arms and estimate outcome variances. In the second stage, we allocate treatment arms in proportion to the variances estimated in the first stage. After the treatment-allocation phase, the procedure enters the treatment-choice phase, where we choose the treatment arm with the highest sample mean as our estimate of the best treatment arm. We prove that this single design is simultaneously asymptotically minimax and Bayes optimal for the simple regret, with upper bounds that match our lower bounds up to exact constants. Therefore, our designed experiment achieves the sharp efficiency limits without requiring separate tuning for minimax and Bayesian objectives. |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2506.24007 |
| By: | Marion Davin (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Dimitri Dubois (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Katrin Erdlenbruch (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Marc Willinger (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier) |
| Abstract: | Experimenting with dynamic games raises issues about implementing discounting in experiments. Theoretical rational decision-makers evaluate payoff streams by converting them to a reference period, often "time zero." In experiments, subjects can adapt their strategy continuously. We explore individual behavior in a dynamic resource extraction experiment with two treatments: "z-discounting" (evaluating gains at time zero) and "p-discounting" (evaluating gains in present-time equivalents). Contrary to theoretical predictions, our data shows a significant positive treatment effect, indicating more substantial extraction under p-discounting. This challenges the theoretical model and prompts discussion on methodological considerations for discounting in laboratory settings. |
| Keywords: | laboratory experiment, time consistency, continuous time, discounting, dynamic optimization |
| Date: | 2025–08–21 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05234840 |
| By: | Adrienne W. Sudbury (College of Business and Economics, Longwood University, VA 23909); Christian A. Vossler (Department of Economics, University of Tennessee); Daniel Rondeau (University of Victoria) |
| Abstract: | This study uses a laboratory experiment to study key aspects of dynamic fundraising campaigns that utilize goals that must be met for a good or service to be provided. We compare campaigns characterized by a final goal only, an intermediate goal and a known final goal, and a third setting where the final goal is unknown at the beginning of the campaign. The design further varies whether an individual’s payoff from reaching a goal is uncertain or certain, which is intended to capture the effects of providing vague or precise information on the good or service to be provided. We find that adding an intermediate goal decreases both the likelihood of reaching the final goal and the amount of money raised. Even for successful campaigns, introducing an intermediate goal slows the timing of contributions and alters contribution strategies. For the one-goal case, value uncertainty decreases the likelihood the goal is reached. |
| Keywords: | fundraising; choice architecture; provision points; goal setting; stretch goals; uncertainty; lab experiment |
| JEL: | H41 H42 C72 C92 D80 |
| Date: | 2025–04 |
| URL: | https://d.repec.org/n?u=RePEc:ten:wpaper:2025-04 |
| By: | Evaluator 2; Evaluator 1; David Reinstein |
| Abstract: | Evaluation Summary and Metrics: "Asymmetry in Civic Information: An Experiment on Tax Participation among Informal Firms in Togo" for The Unjournal. |
| Date: | 2025–07–27 |
| URL: | https://d.repec.org/n?u=RePEc:bjn:evalua:evalsumcivicasymmetry |
| By: | Gagnon, Nickolas (Maastricht University); Bosmans, Kristof (Maastricht University); Riedl, Arno (Maastricht University) |
| Abstract: | We conduct an online experiment to study how the unfairness of chances leading to wage inequality affects labor supply decisions. We find that, at a given wage, disadvantageous wage inequality reduces labor supply, but whether this inequality stems from fair or unfair chances does not matter. That is, a procedure with fair chances does not compensate for wage inequality. Our results stand in stark contrast to prior empirical evidence showing that individuals care about fair chances when making equity judgments. |
| Keywords: | workplace inequality, labor supply, unfair chances |
| JEL: | D63 D90 J22 J31 M52 |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18096 |
| By: | Evaluator 1 |
| Abstract: | Evaluation of "Asymmetry in Civic Information: An Experiment on Tax Participation among Informal Firms in Togo" for The Unjournal. |
| Date: | 2025–07–28 |
| URL: | https://d.repec.org/n?u=RePEc:bjn:evalua:e1civicasymmetry |
| By: | Araujo Piedra, Maria Daniela; Cruz-Aguayo, Yyannu; Heineck, Guido |
| Abstract: | Since 2007, the Ecuadorian government has required teacher candidates to pass cognitive and knowledge tests before they are allowed to participate in merit-based competitions for tenured positions. We evaluate this policy by linking administrative teacher information to data from an experimental study that randomly assigned nearly 13, 000 children to their teachers. We find that test-screened tenured teachers had a significant effect of at least 10.5 percent of a SD on language learning outcomes. Although the recruitment tests screened candidates with higher cognitive skills, the classroom practice instrument used in the competitions appears to have helped identify the most effective teachers. |
| Keywords: | teacher quality;Teacher recruitment policy;Educational policy;Latin America |
| JEL: | I20 I21 I25 I28 J45 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:idb:brikps:14251 |
| By: | Evaluator 2; Evaluator 2 |
| Abstract: | Evaluation of "Asymmetry in Civic Information: An Experiment on Tax Participation among Informal Firms in Togo" for The Unjournal. |
| Date: | 2025–07–27 |
| URL: | https://d.repec.org/n?u=RePEc:bjn:evalua:e2civicasymmetry |
| By: | Lesley-Ann Daniels; Frank Borge Wietzke |
| Abstract: | Bellicose theories of state-building suggest that wars enable the emergence of strong states via the mechanism of increased war-time fiscal capacities. We explore the hitherto little-analysed micro-level foundations of this claim. Does the experience of war increase public support for higher taxation? Furthermore, is this support limited to only defensive purposes, or does it extend to other war-related but forward-looking goals like post-war reconstruction and cohesion-building? We implement a survey experiment during the ongoing war in Ukraine to address the above questions. |
| Keywords: | War, Statebuilding, Taxation, Fiscal capacity, Ukraine, Experimental design |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:unu:wpaper:wp-2025-57 |
| By: | Noemí Navarro (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique); Róbert F. Veszteg (Waseda University [Tokyo, Japan]) |
| Abstract: | This paper investigates the robustness of equal-split outcomes in unstructured bargaining environments, expanding on classic two-person settings to include payoff transfers and multi-party bargaining. Drawing from experimental data, we find that equal splits persist as a focal solution in two-person bargaining with payoff transfers, even when some potential efficiency gains are left unexploited, likely due to limitations in participants' cognitive and strategic sophistication. In three-person settings (without payoff transfers), while agreements align closely with equality, they tend to do so only as long as efficiency and stability criteria are met. Our results suggest that bargaining parties prioritize equality when efficient solutions are complicated to find, but prioritize efficiency when efficient solutions are easily accessible. Also, in multilateral bargaining, coalitional stability becomes a primary concern, whereas it remains a softer constraint in simpler, bilateral negotiations. |
| Keywords: | Economics, Multilateral bargaining, Experiments, Nash bargaining solution, Equal-split solution, Individual rationality, Microeconomics, Robustness (evolution), Sophistication, Stochastic game, Negotiation, Bilateral bargaining |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05240606 |
| By: | Daniel Molitor; Samantha Gold |
| Abstract: | Adaptive experiments such as multi-armed bandits offer efficiency gains over traditional randomized experiments but pose two major challenges: invalid inference on the Average Treatment Effect (ATE) due to adaptive sampling and low statistical power for sub-optimal treatments. We address both issues by extending the Mixture Adaptive Design framework (arXiv:2311.05794). First, we propose MADCovar, a covariate-adjusted ATE estimator that is unbiased and preserves anytime-valid inference guarantees while substantially improving ATE precision. Second, we introduce MADMod, which dynamically reallocates samples to underpowered arms, enabling more balanced statistical power across treatments without sacrificing valid inference. Both methods retain MAD's core advantage of constructing asymptotic confidence sequences (CSs) that allow researchers to continuously monitor ATE estimates and stop data collection once a desired precision or significance criterion is met. Empirically, we validate both methods using simulations and real-world data. In simulations, MADCovar reduces CS width by up to $60\%$ relative to MAD. In a large-scale political RCT with $\approx32, 000$ participants, MADCovar achieves similar precision gains. MADMod improves statistical power and inferential precision across all treatment arms, particularly for suboptimal treatments. Simulations show that MADMod sharply reduces Type II error while preserving the efficiency benefits of adaptive allocation. Together, MADCovar and MADMod make adaptive experiments more practical, reliable, and efficient for applied researchers across many domains. Our proposed methods are implemented through an open-source software package. |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2506.20523 |
| By: | Giovanni Di Bartolomeo (Università di Roma La Sapienza); Stefano Papa (DEF, Università di Roma "Tor Vergata"); Alessandra Pelloni (DEF, Università di Roma "Tor Vergata") |
| Abstract: | This paper examines whether communication can mitigate in-group favoritism when group membership is based on a real-life trait (Italian vs. non-Italian citizenship among university students) rather than artificially induced, as in the minimal group paradigm. In our natural group setting, the identity effect is presumably stronger, making bias harder to counter. We do not find that communication significantly increases cooperation. Moreover, it does not reduce favoritism. However, the exchange of mutual promises increases cooperation and reduce in-group bias. A notable finding not found in previous studies is that gender differences also emerge: Italian males exhibit stronger in-group bias than females, whereas the opposite holds true among non-Italians. Overall, our findings confirm that not all groups are alike and that results from minimal group experiments may not always generalize to natural groups. |
| Keywords: | In-group bias, promises, exogenous variation, natural groups, gender effect |
| JEL: | A13 C91 D03 D64 D90 |
| Date: | 2025–09–10 |
| URL: | https://d.repec.org/n?u=RePEc:rtv:ceisrp:610 |
| By: | Perihan O. Saygin (Department of Applied Economics, Universitat Autònoma de Barcelona, Spain.); Garrison Pollard (Department of Economics, University of Florida, US.); Thomas Knight (Department of Economics, University of Florida, US.); Mark Rush (Department of Economics, University of Florida, US.) |
| Abstract: | Responses to performance feedback play a critical role in shaping future out comes in educational and professional contexts. This paper examines whether evaluator gender influences the likelihood that individuals contest feedback. Using an experiment conducted in large introductory economics courses, we exploit the random assignment of evaluators with randomly assigned male- or female-sounding names to identify a systematic gender bias: individuals are significantly more likely to contest feedback when it is delivered by an evaluator with a female-sounding name than when similar feedback comes from a male-sounding evaluator. This gender disparity is most pronounced when evaluations are harsh relative to a “fair” assessment, fall short of students’ performance expectations, and are more ambiguous. These findings suggest that women in evaluative positions face disproportionate resistance when delivering negative assessments and have implications for their authority, credibility, and career advancement in both educational and workplace settings. |
| Keywords: | gender, backlash, stereotypes. |
| Date: | 2025–09 |
| URL: | https://d.repec.org/n?u=RePEc:uab:wprdea:wpdea2510 |
| By: | Baute, Sharon; Bellani, Luna; Hecht, Katharina |
| Abstract: | Wealth is increasingly unequally distributed in many countries. This study examines public perceptions of wealth deservingness and preferences for taxing the wealth of the rich, focusing on how opinions vary based on the amount, use, and origin of wealth. Drawing on an original vignette experiment conducted in Germany (n=6, 018), our results show a consistent pattern: as wealth increases, its perceived deservingness declines, while support for taxation rises. Similarly, spending on luxury items is seen as less deserving than philanthropic or nonprofit investments, leading to greater support for taxing the wealth of luxury spending rich people. However, wealth obtained through inheritance presents a puzzling exception: although it is perceived as the least deserving compared to wealth gained through entrepreneurship or management, this does not translate into a stronger preference for taxing inheritors over managers. These findings, which hold across different income and wealth groups as well as political affiliations, highlight the complex and sometimes contradictory public attitudes toward the rich and the taxation of their wealth. |
| Keywords: | Inequality, Redistribution, Richness, Survey experiment, Wealth taxation |
| JEL: | D3 D6 H2 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:cexwps:324862 |
| By: | Kira Lancker (Department of Food and Resource Economics, University of Copenhagen); Christopher B. Barrett (Charles H. Dyson School of Applied Economics and Management, Cornell University; Jeb E. Brooks School of Public Policy, Cornell University); Kathryn J. Fiorella (Department of Public & Ecosystem Health, Cornell University); Christopher M. Aura (Kenya Marine and Fisheries Research Institute, Kisumu); Hezron Awandu (Kenya Marine and Fisheries Research Institute, Kisumu); Fonda J. Awuor (Kenya Marine and Fisheries Research Institute, Kisumu); Patrick Otuo (Kenya Marine and Fisheries Research Institute, Kisumu) |
| Abstract: | Fish consumers are often challenged by tradeoffs between nutritional benefits and contaminant risks, which increase due to environmental pollution. Health campaigns and labeling initiatives can guide decision-making by providing information both on contaminant risk and nutritional value of a product, but it is not well understood how consumers react to such complex dual labels. We use data from a stated choice experiment in Kenya’s Lake Victoria region to study how consumers respond to dual labels on fish products, and how their responses to each label interact. We focus on the tradeoff between polyunsaturated fatty acids and contamination with microcystin, a toxin that accumulates in fish during harmful algae blooms. Our findings suggest that, faced with a dual information policy, consumers react rationally to dual health attribute labeling, and that nutrient labels and contaminant warnings can function concurrently, indeed even be mutually reinforcing, but pose a risk of inadvertently concentrating unhealthful consumption in less responsive subpopulations. |
| Keywords: | food labels, fish consumer behavior, interdependent preferences, choice experiment, polyunsaturated fatty acids, algal blooms, Lake Victoria |
| JEL: | D12 I18 Q22 Q18 Q51 O13 |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:foi:wpaper:2025_01 |
| By: | Grashuis, Jasper; Parcell, Joe; Gao, Lijing |
| Abstract: | Consumers of products from food animals in general have a positive attitude toward the animal welfare attribute. However, animal welfare has various dimensions (e.g. cage-free, grass-fed, pain management), and there is little research to inform if the animal welfare attribute and its dimensions are complements or substitutes. We address the gap in the literature with a choice experiment to elicit preferences for the animal welfare attribute and the pain management attribute from 704 beef steak and 1, 261 milk consumers in the United States. Using WTP-space mixed logit models, we find that (1) in isolation animal welfare and pain management each capture a positive and significant WTP, and (2) in combination animal welfare and pain management are complementary and raise total WTP. Additionally, we find certification of the pain management attribute by private or public institutions is of importance to the magnitude of the WTP. |
| Keywords: | Agribusiness |
| Date: | 2025–09–07 |
| URL: | https://d.repec.org/n?u=RePEc:ags:umcowp:369046 |
| By: | Coggins, Sam; Munshi, Sugandha; Santos, Paulo; Smith, Jeremy; Yadav, Anil Kumar; Poonia, Shishpal P.; Patil, Shridhar; Singh, Naveen Kumar; Sawarn, Anushka; Ireland, David C. |
| Abstract: | Farmers increasingly use videos and other digital tools to access and share farming information. However, women in agriculture have commonly been excluded from influencing and accessing these digital tools. Rigorous evaluations have found that including women farmers in the creation and screening of farming videos can benefit women through improved productivity and decision-making power. But what is needed for extension workers to make these videos accessible to women farmers outside of carefully managed pilots? We implemented a randomized controlled trial testing how the gender of farmers featured in wheat farming advisory videos influenced how much, and with whom, 294 extension workers shared these videos in rural Bihar. We interpreted results through twenty follow-up interviews and the ‘Mechanisms and Conditions’ framework based in affordance theory. We found the extent to which extension workers shared videos with women farmers hinged on extension workers' perceptions, material resources, and cultural contexts, rather than the gender of farmers featured in videos. From a theoretical perspective, this core finding suggests the 'Mechanisms and Conditions' framework requires modification to account for material resource access when explaining technology use. From a practical perspective, the core finding prompts practitioners to ask ‘how might extension systems circulating digital tools be more inclusive?’, not just ‘how might we adapt digital tools to be more inclusive?’. This systems-level approach to empowering women in agricultural innovation systems could involve supporting inclusive person-to-person extension networks, and avoiding dependence on smartphone-based extension systems, like YouTube and chatbots. |
| Date: | 2025–08–28 |
| URL: | https://d.repec.org/n?u=RePEc:osf:socarx:aj2k7_v1 |
| By: | Daniel Montoya Herrera (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Marc Willinger (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier) |
| Abstract: | Based on a representative sample of the French population (n = 1, 154), we show that there is a positive association between risk tolerance and trust. We rely on, the World Value Survey WVS binary trust measure, and a '0 -10' scale that we decline in three domains: trust in general, family, and co-workers. We also vary the measure of risk tolerance, by considering an incentivized investment task, and a '0 -10' stated preference scale that we decline in three domains: risk tolerance in general, in finance, and health. These variations allow us to test 16 different relations, by crossing four dependent trust variables with four different risk tolerance covariates. After adjusting for multiple testing, we found nine combinations with a strong positive link between risk tolerance and trust in the general population, and that stated risk tolerance measures predict stated trust better than elicited risk measures. |
| Keywords: | risk-aversion, preferences, generalized trust, Behavioral economics |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05234962 |