Thursday, 23 January 2003 (Day 41)
The first time I learnt about experimental economics was back in the days when I was vainly striving to turn myself into some kind of economist. The prescribed text for second year microeconomics was
In most of the book's chapters there were those little coloured boxes where authors of texts like to present interesting information which is outside the main argument of the chapter, but nonetheless relevant.
Reading this article, with all its deficiencies, led me to develop an interest in their other publications most of which I managed to track down. One was a study of wage theory, using (much to my surprise) the same experimental set up that was used for the study of consumer price theory. It's amazing the insights you can get into human nature by putting rats into confined spaces where they receive a reward for pressing buttons.