Readings

All readings are available for download from the readings folder on Google Drive.

Week 1

• Kahneman & Tversky (1979): Prospect Theory: An Analysis of Decision under Risk

• Mason & Suri (2012): Conducting behavioral research on Amazon’s Mechanical Turk
• Kneeland (2015): Identifying higher-order rationality

Week 2

• Camerer, Ho, and Chong (2004): A Cognitive Hierarchy Model of Games
• McKelvey & Palfrey (1995): Quantal Response Equilibria for Normal Form Games

• Optional: Wright & Leyton-Brown (2017): Predicting human behavior in unrepeated, simultaneous-move games

• Crawford & Iriberri (2007): Fatal attraction: Salience, naivete, and sophistication in experimental “hide-and-seek” games
• Burchardi and Penczynski (2014): Out of your mind: Eliciting individual reasoning in one shot games
• Optional: Wright & Leyton-Brown (2019): Level-0 Models for Predicting Human Behavior in Games

Week 3

• Kahneman, Knetsch, and Thaler (1986): Fairness as a Constraint on Profit Seeking: Entitlements in the Market

• Gal, Mash, Procaccia, and Zick (2017): Which Is the Fairest (Rent Division) of Them All?

• Camerer & Ho (1999): Experience-Weighted Attraction Learning in Normal Form Games
• Chen, Liu, Chen, and Lee (2011): Bounded memory, inertia, sampling and weighting model for market entry games

Week 4

• Hart & Mas-Colell (2000): A Simple Adaptive Procedure Leading to Correlated Equilibrium

• Nekipelov, Syrgkanis, and Tardos (2015): Econometrics for Learning Agents

• Rabin (2000): Risk Aversion and Expected-Utility Theory: A Calibration Theorem

• Khaw et al. (2017): Risk Aversion as a Perceptual Bias

• Benartzi & Thaler (1995): Myopic Loss Aversion and the Equity Premium Puzzle

Additional topics

• Bargaining: Camerer, Nave, and Smith (2018): Dynamic Unstructured Bargaining with Private Information: Theory, Experiment, and Outcome Prediction via Machine Learning

• Behavioral Macroeconomics: De Grauwe & Ji (2016): International Correlation of Business Cycles in a Behavioral Macroeconomic Model

• Behavioral Macroeconomics: Wu & Brynjolfsson (2015): The Future of Prediction: How Google Searches Foreshadow Housing Prices and Sales