Experimental finance
Theory, econometrics and experiments
The fundamental method and challenge in experimental finance
Testing behavioral assumptions
Equilibrium assumptions: multiple equilibria
Equilibrium assumptions: convergence
Testing models
Individual bias and aggregate market behavior
Insights from comparing experimental psychology and experimental economics Advantages
Avoid omitted-variables biases
Avoid self-selection problems
Avoid problems of unobservable independent variables
Avoid problems of unobservable dependent variables
Types of experiments
Laboratory experiments
Controlled field studies or randomized field experiments
Natural experiments
Main findings