Eva Camacho-Cuena

• Jaume I University

Inspired by macroeconomic scenarios, we aim to experimentally investigate the evolution of short- and long-run expectations under different specifications of the fundamentals. We collect individual predictions for future prices in a series of Learning to Forecast Experiments with a time-varying fundamental value. In particular, we observe how expec...

The achievement of Sustainable Development Goals (SDG) related to the environment requires identifying new sources of environmental degradation. This paper analyzes how market size asymmetry affects government decisions on environmental policy in the context of bilateral international trade and imperfect competition. We model an international duopo...

We present the results of an experimental investigation on incentives to adopt cleaner abatement technologies in the presence of imperfect compliance. We consider two emission control instruments—emission taxes and tradable permits—as well as different combinations of the inspection probability and fine for non-compliance, which can result in full...

We study the information aggregation process in a laboratory financial market where traders have access to costly private and free public imperfect information. The public disclosure provokes (i) a crowding-out effect on traders’ information demand, (ii) a market overreaction to the public signal, and (iii) a deterioration in price informativeness....

We conduct laboratory experiments to study whether increasing the number of independent public signals in an economy with endogenous private information is an effective measure to promote the acquisition of information and to enhance price efficiency. We observe that the release of public information crowds out the traders' demand for private infor...

We elicit individual expectations in a series of Learning-to-Forecast Experiments (LtFEs) with different feedback mechanisms between expectations and market price: positive and negative feedback markets. We implement the EEA proposed by Colasante et al. (J Evol Econ 2018b. 10.1007/S00191-018-0585-1). We compare the performance of two learning algor...

This paper centers on whether the timing of the regulator's commitment to an environmental policy affects the firms' behavior concerning the adoption of an advanced abatement technology. Our experimental design mimics an industry with small asymmetric polluting firms regulated by either emission taxes or permits. We compare two different timing reg...

In this paper, we elicit short-run as well as long-run expectations on the evolution of the price of a financial asset in a Learning-to-Forecast Experiment (LtFE). Subjects, in each period, have to forecast the the asset price for each one of the remaining periods. The aim of this paper is twofold: first, we fill the gap in the experimental literat...

This paper studies the effects on the asset price of the introduction of a public signal in the presence of asymmetric private information in a decentralized market. We introduce an artificial market model populated by bounded rational agents with heterogeneous levels of reasoning: sophisticated and naive traders. The model captures the main impact...

In this paper, we present the results of an experimental investigation on incentives to adopt advanced abatement technologies in the presence of imperfect compliance. We consider two policy scenarios to reduce emissions, namely pollution taxes and emission permits, as well as different combinations of the inspection probability and the fine for non...

In this paper, we present the results of a Learning-to-Forecast Experiment (LtFE) where we eliciting short- as well as long-run expectations regarding the future price dynamics in markets with positive and negative expectations feedback. Comparing our results on short-run expectations with the LtFE literature, we prove that eliciting long-run expec...

We experimentally test the truth-telling mechanism proposed by Montero (2008) for eliciting firms' abatement costs. We compare this mechanism with two well-known alternative allocation mechanisms, free and costly allocation of permits at the Pigouvian price. Controlling for the number of firms and the firms' maximal emissions, we find that, in line...

This paper analyzes how international trade affects government decisions on industrial policy in the context of bilateral international trade and imperfect competition. We model an international duopoly with market size asymmetry and product heterogeneity. Each firm produces two different products, one for the domestic market and one for the foreig...

We conduct a Learning to Forecast Experiment using a novel setting in which we elicit subjects’ short- and long-run expectations on the future price of an asset. We find that: (i) the rational expectations equilibrium is not a meaningful description for the whole time spectrum of subjects’ expectations; (ii) they are, instead, better described by a...

We study differences in behavior across countries in a labor market context. To this end, we conducted a bilateral gift-exchange experiment comparing the behavior of subjects from five high-income OECD countries: Germany, Spain, Israel, Japan and the USA. We observe that in all countries, effort levels are increasing while rejection rates are decre...

The instructors of the microeconomics courses at the University Jaume I in Castellon, Spain have created a group for educational innovation in microeconomics devoted to the introduction of experiment-based learning in the economics domain. The main goals of this project are to facilitate and to enrich student learning and to provide microeconomics...

This article empirically evaluates advocacy in low- and middle-income countries as a key tool for raising policy priority and securing high-level decision maker support in eye health. We used a unique data set based on a survey conducted by World Health Organization in 2011 on eye care and prevention of blindness in 82 low- and middle-income countr...

This paper presents an experimental investigation of environmental policy instruments on the incentives to adopt advanced abatement technology in tradable permit markets. Our design, based on Requate and Unhold (2001), involves an industry with small regulated asym- metric firms. We consider three auction-allocation policies: auctioning o permits t...

Many environmental problems, notably arising from agriculture, can be classified as non-point source pollution problems. In this paper we present results of an experimental study on the performance of three mechanisms designed to deal with such problems: collective fining, random fining, and a tax-subsidy scheme. We find that the fining schemes ind...

The main advantages of a laboratory financial market with respect to field data are: (i) it allows us a perfect monitoring of the available information to each subject at any moment in time, and (ii) it gives us the possibility of recording subjects' trading activity in the market. In our experimental design the information distribution is endogeno...

We study the incentives to adopt advanced abatement technologies in the presence of imperfect compliance. Interestingly, incentives under emission taxes and pollution abatement subsidies are the same that in the perfect compliance scenario. However, under emission standards imperfect compliance can increase firms’ incentives to invest, whereas unde...

The aim of our contribution relies on studying the possibility of implementing a genetic algorithm in order to reproduce some characteristics of a simple laboratory experiment with human subjects. The novelty of our paper regards the estimation of the key-parameters of the algorithm, and the analysis of the characteristics of the estimator.

The economic and environmental gains expected from particular environmental policies based on allowances trading programs depend on how they are specifically implemented in the field. In this paper we focus on a tradable permit program based on a double auction market combined with an industry structure that presents heterogeneity in conventional a...

En un modelo en el que dos marcas diferenciadas verticalmente pueden ser distribuidas por hasta dos minoristas potencialmente diferenciados, estudiamos la estructura distributiva del mercado en equilibrio resultante de la decisión de los minoristas o los productores. En términos de bienestar social, las estructuras de distribución de equilibrio dec...

Leaky-bucket transactions can be regarded as income transfers allowing for transaction costs. In its most rudimentary form, leaky-bucket transactions trace out the maximum “leakage” of transaction costs before income inequality is exacerbated, or—alternatively—before a welfare loss is experienced. This notion suggests that part of the income transf...

In this paper, we analyze the behavior of a group of heterogeneously informed investors in an laboratory asset market. Our experimental setting is inspired by Huber et al. (On the benefit of information in markets with heterogeneously informed traders: an experimental study, 2004). However, instead of their system of cumulative and exogenously give...

This paper investigates preference reversals both for lotteries and income distributions as well as their interrelationship. In doing so, it offers several new features: Firstly, it provides a joint analysis of lotteries and income distributions. Secondly, the stimulus material used is considerably more general than used so far in the analysis of p...

This paper provides a survey on studies that analyze the macroeconomic effects of intellectual property rights (IPR). The first part of this paper introduces different patent policy instruments and reviews their effects on R&D and economic growth. This part also discusses the distortionary effects and distributional consequences of IPR protection a...

Using an experiment with material incentives, this paper investigates the violation of Lorenz relations in the case of dominant and single–crossing Lorenz curves. Our experimental design consists of two treatments: an income distribution treatment and a lottery treatment. Both treatments were conducted in Italy and Spain. In each treatment, subject...

Leaky-bucket transactions can be regarded as income transfers allowing for transaction costs. In its most rudimentary form, leaky-bucket transactions trace out the maximum “leakage” of transaction costs before income inequality is exacerbated, or before a welfare loss is experienced. This notion suggests that part of the income transfer should reac...

This paper provides a comparative experimental study of risky prospects (lotteries) and income distributions. The experimental design consisted of multi–outcome lotteries and n–dimensional income distributions arranged in the shapes of ten distributions which were judged in terms of ratings and valuations, respectively. Material incentives applied....

Leaky–bucket transactions can be regarded as a generalization of the transfer principle allowing for transaction costs. In its most rudimentary form, leaky–bucket transactions trace out the maximum leakage of transaction costs such that a transfer still pays at the margin. Yet “to pay at the margin” bears at least two different connotations: It cou...

Using a within-subject experiment, we compare hypothetical andreal willingness to pay (WTP) for an improvement in therecyclability of a product. Subjects are faced with a real paymentscenario after they have responded to a hypothetical question.Contrary to most of the results obtained in similar studies, at apopulation level, there are no significa...

This paper provides a comparative experimental study of risky prospects (lotteries) and income distributions. The experimental design consisted of multi?outcome lotteries and n?dimensional income distributions arranged in the shapes of ten distributions which were judged in terms of ratings and valuations, respectively. Material incentives applied....

We compare hypothetical and observed (experimental) willingness to pay (WTP) for a gradual improvement in the environmental performance of a marketed good (an office table). First, following usual practices in marketing research, subjects’ stated WTP for the improvement is obtained. Second, the same subjects participate in a real reward experiment...

Using experimental methods, we study the reliability of responses received from CVM. We compare declared willingness to pay (WTP) for an improvement in the ecological performance of a piece of furniture with behavior in an experimental environment which replicates the hypothetical scenario of the questionnaire. Results show no signifficant median d...