ECONOMICS 4455 mailer.fsu.edu/~misaac

Fall 2009

Prof. Isaac

SYLLABUS

Introduction to Experimental Economics

This course is an introduction to the use of laboratory experimental economics, a relatively new method of economics research in which the classic model of laboratory experimentation is applied to microeconomics. The innovation of experimental economics was the basis of Prof. Vernon L. Smith’s sharing of the 2002 Nobel Prize in Economic Science. (Students may wish to find in their Principles of Economics textbook whether the authors declared that it was impossible to run experiments in economics). The objectives of the course are 1) to familiarize undergraduate students with a broad range of research which has been conducted using experimental methods, and, 2) in the process, guide the student to rethink the methodological connections among economic theory, economic institutions, and the data which economists can collect. Topics include: the “law” of supply and demand, public goods, signaling phenomena, voting models (yes, in an economics course) and asset pricing. There were be sample exercises conducted in class, so that students will receive a “hands on” experience of experimental economics. Along the way students will be subjected to my assertion that great economic ideas populate the plots of great movies. The course assumes that each potential student has completed a Principles of Economics sequence.

Books

Davis and Holt, Experimental Economics. This is the first undergraduate textbook in experimental economics. The book is keyed to topical areas in experimentation, and most of those areas are ones which we will cover in this class. I will assign parts of Davis and Holt chapters as we go along.

In addition, there will be other readings from journals and books. I have compiled them into a reading list (to be distributed).

Course Requirements: Two midterm exams, one final exam, and one final project, each worth one-fourth of the total course grade. The project (which will be a sample experimental economics research proposal) will be due the day of the final exam.

Final Exam Date: According to my reading of the schedule, our final exam is scheduled for Wednesday, December 9th, 2008 at 5:30-7:30 p.m.. Please let me know ASAP if your reading of the schedule is different.

Policy On Missing Exams: I do not give make-up exams. Students who miss an exam receive a grade of "zero" for that exam unless they provide me, in a timely fashion, a written, signed explanation of their absence. Health, family emergencies, out of town job interviews, etc. are standard, acceptable excuses for a missing a midterm. Students who miss an exam with an acceptable excuse simply have their 75 percent exam score component reweighted on the remaining exams. You may not be excused from both midterms. Final exams are rescheduled only on the most extreme of circumstances, for example: death (your own or that of a close family member). Supersaver airline tickets are not an acceptable reason to reschedule a final exam. Reread the previous sentence.

Your Attendance: I do not take attendance, except, as required by the University, on day one. You are adults and are capable of making your own decision about attending class. I realize that people get sick and have job interviews; you are not required to engage in documentation. Having said this, the most important components of this course take place in the classroom, and that is reflected on all exams. In addition, one thing that really ticks me off is wandering in and out of class. If you must be late, please cause as little disruption as possible. If you have an early appointment, please inform me and sit near the door.

My Attendance: You deserve the same respect from me. Part of my responsibility as a Professor at Florida State University involves occasional attendance at academic conferences which overlap with the normal class schedule. I attempt to make these overlaps as harmless as possible to the course (using guest lectures, experimental sessions, or additionally provided review times). I will provide you shortly with my anticipated schedule for the semester. If I should ever be so sick as to not be able to teach, I will do everything possible to have that posted in class before the class begins.

Honor Code: Students are expected to uphold the Academic Honor Code published in the Florida State University Bulletin and the Student Handbook.

Office Hours: My office hours are Monday and Wednesday from 2:00-3:15, p.m., and by appointment (644-7081). My office is 265 Bellamy. My e-mail address is misaac@mailer.fsu.edu.

Note: Students entitled to special academic accommodations are encouraged to come to my office and present a letter from the Student Disability Resource Center describing the nature of the accommodations required.

Final Note: Anyone who answers or places a (non-emergency) cell phone call in the classroom during class, or who similarly sends, reads or manipulates any text message, fantasy sports report, game, stock report, Texas hold-em hand, etc., will lose two points on the next subsequent exam. If you are expecting a “life or death” page or phone call, please let me know before class starts and try to sit as close to the doors as possible. My basic policy is that laptops should not be operational during the class. If you have a formal accommodation or an informal need to take notes with a laptop, please contact me privately. I will require that you sit near the front of the classroom.