Uncertainty & expectations in economics
2 total works
It is now widely accepted that in economics, the experimental method can be used to generate economic data under controlled conditions for use in theory testing, theory suggesting and policy recommendation. Experiments in Economics will be the first textbook in the subject and provides an elegant overview of the achievements and possibilities of the field for advanced undergraduate and graduate students and professional economists. Following an introductory discussion of the methodological issues, John Hey provides insightful accounts of particular experimental investigations covering individual and interactive behaviour and testing game and bargaining theory, decision-making under uncertainty, auctions and markets. The book will unquestionably be used and will do much to confirm experimental economics as a key tool for the economist.
This volume contains five pairs of specially commissioned essays surveying some of the most important and rapidly growing areas of the economics of uncertainty. These essays provide an entry into, and overview of, some of the most recent developments in economics. The chapters are arranged in matched pairs, the first of each being a statement of the latest theoretical findings in each field, and the second providing an overview of the policy and/or empirical implications of that field. The first pair of chapters looks at the foundations of decision-making under uncertainty and the second at the important principal/agent theory which has provided much insight into economic phenomena. The third pair overviews search theory, one of the most significant developments of the last decade, while the fourth pair surveys the theory of contracts. The final pair of chapters examines the economics of tax evasion, both theoretically and empirically.