Experimental Behavioral Economics Course Objectives Experimental Economics provides a set of alternative data collection methods to study specific research questions These methods rely on carefully controlled designs in ways similar to Experimental Psychology Thus this course is designed to familiarize students with these experimental and behavioral methods to test economic problems The course provides an overview of classical and more recent papers that have used these methods to test Economic Theory Students will be encouraged to discuss research topics and produce new research ideas in this class Textbook Kagel John H and Alvin E Roth Eds 2016 The Handbook of Experimental Economics vol 2 Princeton NJ Princeton University Press Individual chapters of this book in unpublished form can currently be downloaded from John Kagel s website http www econ ohio state edu kagel ten chapters that each survey a particular experimental literature Other Books Suggested Reading The Why Axis Hidden Motives and the Undiscovered Economics of Everyday Life Uri Gneezy John List 2013 Grading Problem sets 30 Throughout the course students will be given two problem sets Research presentation report 50 This is a group assignment 3 4 members in each group Students are required to propose and test a new experimental design aimed at answering questions not yet addressed in the literature Students must write a standard scholarly format paper and present it in the last two weeks of the class Both the presentation and report should include a research question literature review logic for using a behavioral or experimental intervention experimental details such as level of randomization how data was collected outcomes of the experiment and the external validity of the experiment Class presentation participation 20 Each student should submit a 3 5 slide presentation on the summary and main conclusions from the previous lecture before each class Each week a student will randomly be selected to present his her slides at the beginning of class Outline the reference list is preliminary and not all papers will be covered in detail Part I Experimental Economics Week 1 Identification Causation and Counterfactual Construction Judea Pearl Causal inference in statistics An overview Statist Surv 3 96 146 2009 https doi org 10 1214 09 SS057 Manski C F 1993 Identification of Endogenous Social Effects The Reflection Problem The Review of Economic Studies 60 3 531 542 https doi org 10 2307 2298123 Week 2 Types of Experiments Lab vs field Smith V L 1976 Experimental Economics Induced Value Theory The American Economic Review 66 2 274 279 http www jstor org stable 1817233 Levitt Steven D List John A 2009 Field experiments in economics The past the present and the future European Economic Review vol 53 1 pages 1 18 January https www nber org papers w14356 Harrison Glenn W and John A List 2004 Field Experiments Journal of Economic Literature vol 42 4 pages 1009 1055 December https ideas repec org a aea jeclit v42y2004i4p1009 1055 html List John A The behavioralist meets the market Measuring social preferences and reputation effects in actual transactions Journal of Political Economy 114 no 1 2006 1 37 Bursztyn Leonardo Bruno Ferman Stefano Fiorin Martin Kanz Gautam Rao Status Goods Experimental Evidence from Platinum Credit Cards The Quarterly Journal of Economics Volume 133 Issue 3 August 2018 Pages 1561 1595 Week 3 Pre Analysis Plan and Internal Validity Donald Campbell and Julian Stanley 1963 Experimental and Quasi Experimental Designs for Research LaLonde Robert 1986 Evaluating the Econometric Evaluations of Training Programs with Experimental Data American Economic Review 76 issue 4 p 604 20 List John A Does market experience eliminate market anomalies The case of exogenous market experience American Economic Review 101 no 3 2011 313 17 Week 4 Experimental Longitudinal and Within Subject Designs Lenth Russell V Statistical power calculations Journal of animal science 85 no suppl 13 2007 E24 E29 Hoenig John M and Dennis M Heisey The abuse of power the pervasive fallacy of power calculations for data analysis The American Statistician 55 no 1 2001 19 24 List John A The nature and extent of discrimination in the marketplace Evidence from the field The Quarterly Journal of Economics 119 no 1 2004 49 89 DellaVigna Stefano John A List Ulrike Malmendier and Gautam Rao Estimating social preferences and gift exchange at work No w22043 National Bureau of Economic Research 2016 Week 5 Randomization Techniques and Inference Ashraf Nava James Berry and Jesse M Shapiro 2010 Can Higher Prices Stimulate Product Use Evidence from a Field Experiment in Zambia American Economic Review 100 5 2383 2413 R Guiteras J Levinsohn and A M Mobarak Encouraging Sanitation Investment in the Developing World A Cluster Randomized Controlled Trial Science 348 6237 903 906 May 22 2015 Duflo Esther and Emmanuel Saez 2003 The role of information and social interactions in retirement plan decisions Evidence from a randomized experiment The Quarterly journal of economics 118 3 815 842 Miguel Edward and Michael Kremer 2004 Worms identifying impacts on education and health in the presence of treatment externalities Econometrica 72 1 159 217 Week 6 Non Compliance and Missing Data Ito Koichiro and Takanori Ida and Makoto Tanaka Selection on Welfare Gains Experimental Evidence from Electricity Plan Choice NBER Working Paper 28413 January 2021 DiNardo John Justin McCrary and Lisa Sanbonmatsu Constructive proposals for dealing with attrition An empirical example NBER working paper 2006 1 46 Week 7 Incentives Kamenica E 2012 Behavioral economics and psychology of incentives Annual Review of Economics 4 1 427 452 Emir Kamenica Behavioral Economics and Psychology of Incentives Annual Review of Economics Sept 26 2012 Vol 4 issue 1 https doi org 10 1146 annurev economics 080511 110909 Gneezy U Rustichini A 2000 Pay Enough or Don t Pay at All The Quarterly Journal of Economics 115 3 791 810 http www jstor org stable 2586896 Andersen Steffen Seda Erta Uri Gneezy Moshe Hoffman and John A List Stakes matter in ultimatum games American Economic Review 101 no 7 2011 3427 39 Week 8 Treatment Effect Heterogeneity and Multiple Hypothesis Testing Chen Kuan Ming Claire Ding John A List and Magne Mogstad Reservation Wages and Workers Valuation of Job Flexibility Evidence from a Natural Field Experiment No w27807 National Bureau of Economic Research 2020 Marina Bassi Costas Meghir Ana