316-346 Experimental Economics

316-202 Intermediate Microeconomics.

This subject provides an understanding of behaviour in a variety of markets - for example markets with price controls, markets for trading long lived assets and auction markets. Students will learn about social dilemmas that arise when people try to provide public goods voluntarily, lobby to influence governments, or when sellers try to conspire to fix prices. Students will also learn how people bargain with each other and interact in institutions where they need to trust each other. The research papers recommended for the subject survey the rapidly growing literature in this area and help in understanding the exciting issues being tackled by experimental economists. Conventional economic tools will be used and new approaches will be introduced wherever appropriate. Students will participate in experiments every week and will be given an opportunity to design experiments.

• High level of development: oral communication; written communication; application of theory to practice; interpretation and analysis; critical thinking; synthesis of data and other information; evaluation of data and other information; use of computer software; receptiveness to alternative ideas.

• Moderate level of development: collaborative learning; problem solving; team work; statistical reasoning; accessing data and other information from a range of sources.

A 2-hour end of semester examination (60%), an essay of approximately 2500 words (25%), assignments equivalent to 1000 words (10%) and class participation (5%).

Handbook of Experimental Economics (Kagel and Roth) and Prescribed Readings.