Fabio Feriozzi Livia Reina and Alessandro Scartezzini

Many negotiations offer a potential for integrative agreements (through logrolling) in which the parties can maximize joint gains without competing for resources as in a zero-sum game nevertheless, negotiators often fail to exploit this potential and settle for suboptimal, distributive agreements. Our aim is to get some insight on the causes that prevent negotiators from reaching integrative, Pare pareto-optimal agreements. We ran some experiments in which we tested the fixed-pie bias of...

William Robert Nelson Jr Elenna RDugundji Jane Li and Marco Tecilla

The purpose of this chapter is to provide the reader insight into the development of a project we call Culture from Scratch. The objective is to determine whether cultures of cooperation and defection can be developed in the laboratory. The broader purpose is to ascertain the conditions under which such cultures will develop, persist, decay, and collapse. Expectations affect cooperation in Rob and Zemsky's 1997 model of corporate culture. Their agents form expectations based on others'...

Jason Hwang

Are business cycles driven by expectations Models that posit that they do are hard to test empirically due to difficulties associated with measuring expectations and observing random coordination devices sunspots . I propose an experiment to capture the salient features of Howitt and McAfee's model of expectationally driven business cycles and investigate whether such cycles arise in an experimental setting. I introduce externalities, uncertainty, and an extrinsic random variable to mimic the...