This outstanding collection spanning three decades comprises a superb selection of Charles R. Plott’s work in experimental economics. Market Institutions and Price Discovery contains papers which define problems, create laboratory methodology and produce the first results in many areas of experimental economics.
Primarily, the volume attempts to explain what is learned from applications of experimental methods, using examples taken from the first stages of the early experimental literature. It goes on to include the first applications of newly developed laboratory methods to matters of national policy, and progresses to examine institutions such as the posted price and to other more complex institutions including opportunities for conspiracy.
The focus then shifts to explore the process through which markets find a price, and then discusses the double auction which has enabled experiments to be used to study more complex environments than the single market experiments that existed formerly. The principles of stability are then used in an attempt to learn more about the dynamics of how markets adjust.
This pathbreaking volume will be of enormous interest to academics, scholars and researchers involved in experimental economics, the methodology of economics, political theory, and political economy.