Quantitative Economics Seminar:  The Experimental Economics Seminar - Spring 2010

SYLLABUS (Including Deadlines!)
READINGS
ztree support
zTree randomly rematch
zTree set up (including practicing on your own computer and running in NI 006)
ztree examples
PAPER GUIDELINES

Game theory is broadly interpreted as the study of multiperson decision problems.  The disciplines most involved in game theory are economics, mathematics, and military science.  Students working a project using game theory will use concepts and skills acquired in other mathematics and economics courses to formulate a matrix game model and estimate the payoff matrix for a scenario of their choice.  For 2-person game models optimal min-max solutions must be found.  Examples of area using matrix games in analysis include ways to efficient govern common pool resources; ways to efficiently provide public goods; oligopoly pricing decisions; coordination games; tactics in sports, and anti-submarine tactics.

Experimental economics involves the design of experiments using human subject to confirm the predictive powers of economic models and theories.  For example, experiments have been designed to test the assumptions of consumer behavior used in economic models, and other experiments to test assumptions about the behavior of producers in a market.  Another area of experimental economics is to compare the behavior of people in making decisions in situations that are well modeled with game models with the mathematical solutions to those models.  Students working in this area will choose an economic model or game model and design an experiment using midshipmen playing the roles of the economic agents.  The results of the experiment will be analyzed, usually by statistical methods, and compared with the results that are predicted by the theoretic model.  In many cases the economic experiment will be a variation of an experiment reported in the literature.

The focus of the course is your conducting and analyzing an economic experiment, or using a game theoretic model to analyze a multiperson decision situation.  Your research will be documented in a paper and presented in a project briefing towards the end of the course.  The project paper and briefing are the most important part of the course.

In the first six weeks the course instructors will take about 40% of the class time presenting material on the seminar topics.  About 60% of the class time will be devoted to having the students reporting on their progress in developing their project proposals.  They will present ideas found in the literature, and describe topics/problems they think may provide a subject for the project portion of the course.

During the remainder of the course you will be working on your research project.  One of the seminar leaders will be assigned as your project advisor.  You must confer with your project advisor at least once a week and on a less frequent basis you will be directed to brief the other seminar leader on your project.