The ultimatum bargaining game (UBG), a widely used method in experimental economics, clearly demonstrates that motives other than pure monetary reward play a role in human economic decision making. In this study, we explore the behaviour and physiological reactions of both responders and proposers in an ultimatum bargaining game using heart rate variability (HRV), a small and nonintrusive techn...

Detecting deception in natural language is a problem amenable to economic analysis. Economics typically assumes that individuals are self-interested, which leads them to perform actions in accord with their own goals. The field of experimental economics emerged to construct environments wherein human subjects make decisions so as to test economic hypotheses. Experimental economists recently hav...

Ken Binmore and Avner Shaked are highly respected economists, well-known for their analytical contributions and breadth of knowledge. Moreover, they have actively participated in experimental economics for many years. However, their critique of the current state of experimental economics in general, and of Ernst Fehr and Klaus Schmidt’s presentation of their theory of inequality aversion in par...

Experimental economics represents a strong growth industry. In the past several decades the method has expanded beyond intellectual curiosity, now meriting consideration alongside the other more traditional empirical approaches used in economics. Accompanying this growth is an influx of new experimenters who are in need of straightforward direction to make their designs more powerful. This stud...

MICHAEL D. COHEN, ROGER BURKHART, GIOVANNI DOSI , MASSIMO EGIDI , LUIGI MARENGO, MASSIMO WARGLIEN AND SIDNEY WINTER ^University of Michigan, Ann Arbor, MI 48109-1220, Deere and Co., John Deere Road, Moline, IL 61265, USA, department of Economics, University of Rome 'La Sapienza', Via A. Cesalpino 12/14, 00l6LRoma, ^Laboratory of Experimental Economics, 'Department of Economics, University of Tr...

In the past few years, there has been an increasing tendency in the application of formal and experimentalmethods to tackle philosophical issues.Weverymuch approve of this trend,whichweviewas part and parcel of the recent renewal of “scientific philosophy”: In our mind, the aim of a scientifically oriented philosophy is to adopt formal and experimental methods to address philosophical questions...

Because economics is the science of how resources are allocated by individuals and by collective institutions like firms and markets, the psychology of individual behavior should underlie and inform economics, much as physics informs chemistry; archaeology informs anthropology; or neuroscience informs cognitive psychology. However, economists routinely—and proudly—use models that are grossly in...

Amos Tversky investigated and explained a wide range of phenomena that lead to anomalous human decisions. His two most significant contributions, both written with Daniel Kahneman, are the decision-making heuristics—representativeness, availability, and anchoring—and prospect theory. Tversky’s concepts have broadly influenced the social sciences. In economics, they gave rise to the burgeoning f...

In this paper I attempt to show that mathematical economics is unreasonably ineffective. Unreasonable, because the mathematical assumptions are economically unwarranted; ineffective because the mathematical formalizations imply non-constructive and uncomputable structures. A reasonable and effective mathematization of economics entails Diophantine formalisms. These come with natural undecidabil...

Scholars in student learning have shown a growing interest in using Student Teams Achievement Divisions (STAD) as a cooperative learning technique in classroom teaching. This study explores the effects of STAD on student achievement, attitude and motivation in economics education. Three research instruments, a Test of Economic Literacy (TEL); a Motivation Scale and an Economics Modular Test wer...