Economics Commons^™

The Perception Of The Economy Influencing Public Opinion On Immigration Policy, Jeff Sanchez

e-Research: A Journal of Undergraduate Work

Does the majority express interest concerning immigration on the basis of perceived personal economic circumstance and security, or on the basis of its perception of the state of the national economy? This study explains how perception of the state of the economy influences opinion on immigration policy. This study finds that an individual's preferences for varying immigration policies are rooted in his or her perception of the state of the national economy, rather than being narrowly determined by his or her perception of their own economic circumstance and security.

Globalization And Development In Latin America And The Caribbean: A Review, Diego José Romero

e-Research: A Journal of Undergraduate Work

Globalization and Development: A Latin American and Caribbean Perspective (2003) is a study of the process of globalization in the economic, political and cultural spheres, focusing mainly on the economic developments. Understanding the process as being multidimensional in nature, the authors, José Antonio Ocampo and Juan Martin, the Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC) and the Special Advisor to the Executive Secretary respectively[i], analyze globalization as a historic event realized in three well-differentiated phases, which prove, that it is not an irreversible process. The authors define globalization as "the growing influence exerted at …

Political Influence Associates With Cortisol And Health Among Egalitarian Forager-Farmers, Christopher Von Rueden, Benjamin C. Trumble, Melissa Emery Thompson, Jonathan Stieglitz, Paul L. Hooper, Aaron D. Blackwell, Hillard Kaplan, Michael Gurven

ESI Publications

Background and objectives: Low social status increases risk of disease due, in part, to the psychosocial stress that accompanies feeling subordinate or poor. Previous studies report that chronic stress and chronically elevated cortisol can impair cardiovascular and immune function. We test whether lower status is more benign in small-scale, relatively egalitarian societies, where leaders lack coercive authority and there is minimal material wealth to contest.

Methodology: Among Tsimane’ forager-horticulturalists of lowland Bolivia, we compare informal political influence among men with urinary cortisol, immune activation (innate and acquired), and morbidity as assessed during routine medical exams.

Results: After …

Cost Share Adjustment Processes For Cooperative Group Decisions About Shared Goods: A Design Approach, Edna T. Loehman, Richard Kiser, Stephen Rassenti

Economics Faculty Articles and Research

For group decision about shared goods, the nature of the shared good and how its cost is to be shared among group members must be determined. Complexity arises from heterogeneity in preferences and endowments and nonlinear cost. To facilitate group decision, this paper proposes special type of group decision support system, a cost share adjustment process (CSAP), in which cost shares are adjusted iteratively via algorithmic rules until unanimity is reached, ideally producing a socially optimal, cost feasible, and fair outcome. In contrast to public good literature, our designs apply for situations of nonlinear cost, with economies of scale and …

Ageism, Honesty, And Trust, Eric Schniter, Timothy W. Shields

ESI Publications

Age-based discrimination is considered undesirable, yet we know little about age stereotypes and their effects on honesty and trust. To investigate this aspect of ageism, we presented older adults (over age 50) and younger adults (under age 25) with incentivized belief elicitation tasks about anticipated interaction behaviors and then a series of same, different, and unknown-aged group interactions in a strategic-communication game. All adults shared consensual stereotypes about uncooperative younger adults and cooperative older adults that demonstrated “wisdom of crowds”. While the out-group was consistently stereotyped as relatively different and more dishonest and suspicious than observed to be, the in-group …

Genomic Correlates Of Atherosclerosis In Ancient Humans, Albert Zink, L. Samuel Wann, Randall C. Thompson, Andreas Keller, Frank Maixner, Adel H. Allam, Caleb E. Finch, Bruno Frohlich, Hillard Kaplan, Guido P. Lombardi, M. Linda Sutherland, James D. Sutherland, Lucia Watson, Samantha L. Cox, Michael I. Miyamoto, Jagat Narula, Alexandre F. R. Stewart, Gregory S. Thomas, Johannes Krause

ESI Publications

Paleogenetics offers a unique opportunity to study human evolution, population dynamics, and disease evolution in situ. Although histologic and computed x-ray tomographic investigations of ancient mummies have clearly shown that atherosclerosis has been present in humans for more than 5,000 years, limited data are available on the presence of genetic predisposition for cardiovascular disease in ancient human populations. In a previous whole-genome study of the Tyrolean Iceman, a 5,300-year-old glacier mummy from the Alps, an increased risk for coronary heart disease was detected. The Iceman’s genome revealed several single nucleotide polymorphisms that are linked with cardiovascular disease in genome-wide association …

Funerary Artifacts, Social Status, And Atherosclerosis In Ancient Peruvian Mummy Bundles, M. Linda Sutherland, Samantha L. Cox, Guido P. Lombardi, Lucia Watson, Clide M. Valladolid, Caleb E. Finch, Albert Zink, Bruno Frohlich, Hillard Kaplan, David E. Michalik, Michael I. Miyamoto, Adel H. Allam, Randall C. Thompson, L. Samuel Wann, Jagat Narula, Gregory S. Thomas, James D. Sutherland

ESI Publications

Background: Evidence of atherosclerotic plaques in ancient populations has led to the reconsideration of risk factors for heart disease and of the common belief that it is a disease of modern times.

Methods: Fifty-one wrapped mummy bundles excavated from the sites of Huallamarca, Pedreros, and Rinconada La Molina from the Puruchuco Museum collection in Lima, Peru, were scanned using computed tomography to investigate the presence of atherosclerosis. Funerary artifacts contained within the undisturbed mummy bundles were analyzed as an attempt to infer the social status of the individuals to correlate social status with evidence of heart disease in …

Why Did Ancient People Have Atherosclerosis?: From Autopsies To Computed Tomography To Potential Causes, Gregory S. Thomas, L. Samuel Wann, Adel H. Allam, Randall C. Thompson, David E. Michalik, M. Linda Sutherland, James D. Sutherland, Guido P. Lombardi, Lucia Watson, Samantha L. Cox, Clide M. Valladolid, Gomaa Abd El-Maksoud, Muhammad Al-Tohamy Soliman, Ibrahem Badr, Abd El-Halim Nur El-Din, Emily M. Clarke, Ian G. Thomas, Michael I. Miyamoto, Hillard Kaplan, Bruno Frohlich, Jagat Narula, Alexandre F. R. Stewart, Albert Zink, Caleb E. Finch

ESI Publications

Computed tomographic findings of atherosclerosis in the ancient cultures of Egypt, Peru, the American Southwest and the Aleutian Islands challenge our understanding of the fundamental causes of atherosclerosis. Could these findings be true? Is so, what traditional risk factors might be present in these cultures that could explain this apparent paradox? The recent computed tomographic findings are consistent with multiple autopsy studies dating as far back as 1852 that demonstrate calcific atherosclerosis in ancient Egyptians and Peruvians. A nontraditional cause of atherosclerosis that could explain this burden of atherosclerosis is the microbial and parasitic inflammatory burden likely to be present …

Atherosclerosis: A Longue Durée Approach, L. Samuel Wann, Randall C. Thompson, Adel H. Allam, Caleb E. Finch, Albert Zink, Hillard Kaplan, Bruno Frohlich, Guido P. Lombardi, M. Linda Sutherland, James D. Sutherland, Lucia Watson, Samantha L. Cox, Michael I. Miyamoto, Alexandre F. R. Stewart, Jagat Narula, Gregory S. Thomas

ESI Publications

Fernand Braudel popularized the longue durée approach to scholarly investigation in the mid-20th century. The longue durée approach can be loosely translated to mean “look for the big picture, synthesize data collected using all available methodology over the long periods of time to identify fundamental principles, rather than becoming preoccupied with isolated observations.” Braudel, a historian and economist, emphasized observation of enduring historical structures and analysis of long-term, panoramic economic trends rather than concentrating on detailed descriptions of particular events or individuals. He also urged the use of insight gained from many scholarly disciplines to identify the essential underpinnings of …

How Portable Is Level-0 Behavior? A Test Of Level-K Theory In Games With Non-Neutral Frames, Shaun Hargreaves Heap, David Rojo Arjona, Robert Sugden

Economics Faculty Articles and Research

We test the portability of level‐0 assumptions in level‐k theory in an experimental investigation of behavior in Coordination, Discoordination, and Hide and Seek games with common, non‐neutral frames. Assuming that level‐0 behavior depends only on the frame, we derive hypotheses that are independent of prior assumptions about salience. Those hypotheses are not confirmed. Our findings contrast with previous research which has fitted parameterized level‐k models to Hide and Seek data. We show that, as a criterion of successful explanation, the existence of a plausible model that replicates the main patterns in these data has a high probability of …

Centralized Institutions And Cascades, Jared Rubin

Economics Faculty Articles and Research

Why do sudden and massive social, economic, and political changes occur when and where they do? Are there institutional preconditions that encourage such changes when present and discourage such changes when absent? I employ a general model which suggests that cascades which induce massive equilibrium changes are more likely to occur in regimes with centralized coercive power, defined as the ability to impose more than one type of sanction (economic, legal, political, social, or religious). Centralized authorities are better able to suppress subversive actions when external shocks are small, as citizens have little incentive to incur numerous types of sanctions. …

Historical Health Conditions In Major Us Cities: The Hue Data Set, Carlos Villareal, Brian Bettenhausen, Eric Hanss, Jonathan Hersh

Economics Faculty Articles and Research

The Historical Urban Ecological data set is a new resource detailing health and environmental conditions within seven major U.S. cities during the study period from 1830 to 1930. Researchers collected and digitized ward-level data from annual reports of municipal departments that detail the epidemiological, economic, and demographic conditions within each city. They then drafted new geographic information system data to link the tabular records to ward geographies. These data provide a new foundation to revisit questions surrounding the urban mortality transition and the growth of U.S. cities.

Why Real Leisure Really Matters: Incentive Effects On Real Effort In The Laboratory, Brice Corgnet, Roberto Hérnan-Gonzalez, Eric Schniter

ESI Publications

On-the-job leisure is a pervasive feature of the modern workplace. We studied its impact on work performance in a laboratory experiment by either allowing or restricting Internet access. We used a 2x2 experimental design in which subjects completing real-effort work tasks could earn cash according to either individual- or team-production incentive schemes. Under team pay, production levels were significantly lower when Internet browsing was available than when it was not. Under individual pay, however, no differences in production levels were observed between the treatment in which Internet was available and the treatment in which it was not. In line with …

Game-Theoretic Foundations Of Monetary Equilibrium, Gabriele Camera, Alessandro Gioffré

Economics Faculty Articles and Research

According to theory, money supports trade in a world without enforcement and, in particular, in large societies, where gift-exchange is unsustainable. It is demonstrated that, in fact, monetary equilibrium breaks down in the absence of adequate enforcement institutions and it collapses as societies that lack external enforcement grow large. This unique result is derived by unveiling the existence of a tacit enforcement assumption in the literature that explains the advantages from monetary exchange, and by integrating monetary theory with the theory of repeated games and social norms.

Horizontal Product Differentiation In Auctions And Multilateral Negotiations, Charles J. Thomas, Bart J. Wilson

Economics Faculty Articles and Research

We experimentally compare first-price auctions and multilateral negotiations after introducing horizontal product differentiation into a standard procurement setting. Both institutions yield identical surplus for the buyer, a difference from prior findings with homogeneous products that results from differentiation's influence on sellers' pricing behaviour. The data are consistent with this finding being driven by concessions from low-cost sellers in response to differentiation reducing their likelihood of being the buyer's surplus-maximizing trading partner. Further analysis shows that introducing product differentiation increases the intensity of price competition among sellers, which contrasts with the conventional wisdom that product differentiation softens competition.

Understanding The Distributional Impact Of Long-Run Inflation, Gabriele Camera, Yili Chen

Economics Faculty Articles and Research

The impact of fully anticipated inflation is systematically studied in heterogeneous agent economies with an endogenous labor supply and portfolio choices. In stationary equilibrium, inflation nonlinearly alters the endogenous distributions of income, wealth, and consumption. Small departures from zero inflation have the strongest impact. Three features determine how inflation impacts distributions and welfare: financial structure, shock persistence, and labor supply elasticity. When agents can self-insure only with money, inflation reduces wealth inequality but may raise consumption inequality. Otherwise, inflation reduces consumption inequality but may raise wealth inequality. Given persistent shocks and an inelastic labor supply, inflation may raise average welfare. …

Fair And Impartial Spectators In Experimental Economic Behavior, Vernon L. Smith, Bart J. Wilson

Economics Faculty Articles and Research

Our primary purpose in this article is to draw upon the literature of classical liberal economy to show how it informs and is informed by the results from experimental economics. Adam Smith's first great book, The Theory of Moral Sentiments, serves as our chief source of insights for understanding and interpreting modern laboratory research in terms of the conventions that govern human conduct in personal exchange.~ At the same time, we wish to demonstrate how today's economic experiments elucidate a reading of Adam Smith.

Effort And Performance: What Distinguishes Interacting And Noninteracting Groups From Individuals?, Tibor Besedeš, Cary Deck, Sarah Quintanar, Sudipta Sarangi

Economics Faculty Articles and Research

We study how group membership affects behavior both when group members can and cannot interact with each other. Our goal is to isolate the contrasting forces that spring from group membership: a free-riding incentive leading to reduced effort and a sense of social responsibility that increases effort. In an environment with varying task difficulty and individual decision making as the benchmark, we show that the free-riding effect is stronger. Group members significantly reduce their effort in situations where they share the outcome but are unable to communicate. When group members share outcomes and can interact, they outperform groups without conmmnication …

The Coordination Value Of Monetary Exchange: Experimental Evidence, Gabriele Camera, Marco Casari

Economics Faculty Articles and Research

What institutions can sustain cooperation in groups of strangers? Here we study the role of monetary systems. In an experiment, subjects sometimes needed help and sometimes could incur a cost to help an anonymous counterpart. In the absence of money, the intertemporal exchange of help, which could be supported by a norm of community punishment of defectors, did not emerge. Introducing intrinsically worthless tokens substantially altered patterns of behavior. Monetary trade emerged, which increased predictability of play and promoted cooperation when strangers could trade help for a token.

A Tractable Analysis Of Contagious Equilibria, Gabriele Camera, Alessandro Gioffré

Economics Faculty Articles and Research

This paper studies contagious equilibrium in infinitely repeated matching games. The innovation is to identify a key statistic of contagious punishment that, used together with a recursive formulation, generates tractable closed-form expressions for continuation payoffs, off equilibrium. This allows a transparent characterization of the dynamic incentives created by contagious punishment schemes.

Uniqueness Of Equilibrium In Directed Search Models, Jaehong Kim, Gabriele Camera

Economics Faculty Articles and Research

We study a decentralized trading model as in [7], where a finite number of heterogeneous capacity-constrained sellers compete for a finite number of homogeneous buyers, by posting prices. This "directed search" model is known to admit symmetric equilibria; yet, uniqueness has proved elusive. This study makes two contributions: a substantive contribution is to establish uniqueness of symmetric equilibrium; a methodological contribution is to develop a tool based on directional derivatives to characterize equilibrium.

Predictable And Predictive Emotions: Explaining Cheap Signals And Trust Re-Extension, Eric Schniter, Roman M. Sheremeta

ESI Publications

Despite normative predictions from economics and biology, unrelated strangers will often develop the trust necessary to reap gains from one-shot economic exchange opportunities. This appears to be especially true when declared intentions and emotions can be cheaply communicated. Perhaps even more puzzling to economists and biologists is the observation that anonymous and unrelated individuals, known to have breached trust, often make effective use of cheap signals, such as promises and apologies, to encourage trust re-extension. We used a pair of trust games with one-way communication and an emotion survey to investigate the role of emotions in regulating the propensity to …

Divided Loyalists Or Conditional Cooperators? Creating Consensus About Cooperation In Multiple Simultaneous Social Dilemmas, Matthew W. Mccarter, Anya Samek, Roman M. Sheremeta

ESI Publications

The current social dilemma literature lacks theoretical consensus regarding how individuals behave when facing multiple simultaneous social dilemmas. The divided-loyalty hypothesis, from organizational theory, predicts that cooperation will decline as individuals experience multiple social dilemmas with different compared to the same group members. The conditional-cooperation hypothesis, from behavioral economics, predicts that cooperation will increase as individuals experience multiple social dilemmas with different compared to the same group members. We employ a laboratory experiment to create consensus between these literatures and find support for the conditional-cooperation hypothesis. The positive effect of interacting with different group members comes from participants having an …

Decision Making In A Sequential Game: The Case Of Pitting In Nascar, Alan Deck, Cary Deck, Zhen Zhu

ESI Publications

This article uses data from NASCAR to examine strategic decision making with professional players and high stakes. The authors look at driver decisions to pit, enabling car performance to be improved at the cost of track position. Unlike other sports choices that have been used to test game-theoretic play, pitting decisions occur sequentially. Therefore, optimal decision making should result in the sub-game perfect equilibrium outcome. After estimating the likelihood of successfully passing another driver, the authors find some evidence that drivers make optimal decisions; however, driver behavior is also consistent with a simple heuristic of following the preceding car.

The Evolutionary Fitness Of Personality Traits In A Small-Scale Subsistence Society, Michael Gurven, Christopher Von Rueden, Jonathan Stieglitz, Hillard Kaplan, Daniel Eid Rodriguez

ESI Publications

"Personality, or “behavioral syndromes”, are relatively stable dispositional traits and behaviors that have now been identified in a myriad of social species (Gosling, 2001; Sih et al., 2004), and with clear consequences on fitness (Smith & Blumstein, 2008). The canalization of personality during development and relative stability thereafter, despite varying circumstances over the life course that might otherwise favor greater plasticity, is an important problem attracting much theoretical and empirical attention (Dall et al., 2004; Dingemanse et al., 2010). Further, personality is highly heritable, yet how heritable genetic variation in personality traits is maintained over generations remains another conundrum (Buss …

Differential Responding By Rhesus Monkeys (Macaca Mulatta) And Humans (Homo Sapiens) To Variable Outcomes In The Assurance Game, Audrey E. Parrish, Sarah F. Brosnan, Bart J. Wilson, Michael J. Beran

Economics Faculty Articles and Research

Behavioral flexibility in how one responds to variable partner play can be examined using economic coordination games in which subjects play against a variety of partners and therefore may need to alter their behavior to produce the highest payoff. But how do we study this behavioral flexibility once players have settled on a response? Here, we investigated how responding by rhesus monkeys (Macaca mulatta) and humans (Homo sapiens) playing a computerized single-player version of a coordination game, the Assurance game, changed as a function of the variable responses (Stag/Hare) generated by multiple simulations (SIMs). We were interested in whether individuals …

Double Bubbles In Assets Markets With Multiple Generations, Cary Deck, David Porter, Vernon L. Smith

ESI Publications

We construct an asset market in a finite horizon overlapping-generations environment. Subjects are tested for comprehension of their fundamental value exchange environment and then reminded during each of 25 periods of the environment's declining new value. We observe price bubbles forming when new generations enter the market with additional liquidity and bursting as old generations exit the market and withdrawing cash. The entry and exit of traders in the market creates an M shaped double bubble price path over the life of the traded asset. This finding is significant in documenting that bubbles can reoccur within one extended trading horizon …

Older Adults’ Contributions To The Tsimane Forager-Farmer Economy, Eric Schniter

Psychology Faculty Articles and Research

Portfolio of original photographs and an accompanying essay about the role of elders among the Tsimane, an indigenous group living in the Bolivian Amazon.

Money Is More Than Memory, Maria Bigoni, Gabriele Camera, Marco Casari

ESI Working Papers

Impersonal exchange is the hallmark of an advanced society. One key institution for impersonal exchange is money, which economic theory considers just a primitive arrangement for monitoring past conduct in society. If so, then a public record of past actions—or memory—supersedes the function performed by money. This intriguing theoretical postulate remains untested. In an experiment, we show that the suggested functional equality between money and memory does not translate into an empirical equivalence. Monetary systems perform a richer set of functions than just revealing past behaviors, which proves to be crucial in promoting large-scale cooperation.

Skill Ontogeny Among Tsimane Forager-Horticulturalists, Eric Schniter, Michael Gurven, Hillard Kaplan, Nathaniel Wilcox, Paul Hooper

ESI Working Papers

No abstract provided.