Coordinator, SAFE Experiment Center
Experiment Center
Economic experiments – be it in the lab or the field – provide a valuable method to explore the foundations, mechanisms, and implications of economic decision-making in financial contexts and institutions. Researchers at the SAFE Experiment Center use this method to study key questions, for example, in household finance, corporate governance, or financial markets. Experiments help to identify causal relations, measure “behavioral heterogeneity” (e.g., in economic preferences or beliefs), as well as assist policymakers in evaluating the effects of particular interventions and institutions.
The SAFE Experiment Center is a collaboration between the Leibniz Institute for Financial Research SAFE and the Frankfurt Laboratory for Experimental Economic Research FLEX.
Publications
| 2019 |
Peer Effects and Risk Sharing in Experimental Asset Markets |
Sascha Baghestanian, Paul Gortner, Joël van der Weele European Economic Review | Household Finance, Financial Markets, Experiment Center | peer effects, laboratory experiments, risk taking, asset markets | 2019 |
| 2017 |
Bank Rescues and Bailout Expectations: The Erosion of Market Discipline During the Financial Crisis |
Florian Hett, Alexander Schmidt Journal of Financial Economics | Financial Intermediation, Transparency Lab, Experiment Center | Bailout, Implicit Guarantees, Too-Big-To-Fail, Market Discipline | 2017 |
| 2017 |
Compensation Schemes, Liquidity Provision, and Asset Prices: An Experimental Analysis |
Sascha Baghestanian, Paul Gortner, Baptiste Massenot Experimental Economics | Law and Finance, Experiment Center | compensation, liquidity, experimental asset markets, bubbles | 2017 |
| 2017 |
Incentive-Based Capital Requirements |
Christian Eufinger, Andrej Gill Management Science | Law and Finance, Transparency Lab, Experiment Center | Basel III, capital regulation, compensation, leverage, risk | 2017 |
| 2017 |
Add-On Pricing in Retail Financial Markets and the Fallacies of Consumer Education |
Michael Kosfeld, Ulrich Schüwer Review of Finance | Household Finance, Experiment Center | consumer education,financial literacy, bounded rationality, competition, regulation | 2017 |
| 2015 |
Performance Benefits of Tight Control |
Andrej Gill, Nikolai Visnjic The Journal of Private Equity | Law and Finance, Transparency Lab, Experiment Center | private equity, leveraged buyouts, active shareholders, ownership concentration, corporate governance | 2015 |
| 2015 |
Anchoring in Experimental Asset Markets |
Sascha Baghestanian, Todd B. Walker Journal of Economic Behavior & Organization | Financial Markets, Experiment Center | Experimental Asset Markets, Anchoring, Bubbles | 2015 |
Working Papers
Incentive-Based Capital Requirements |
Christian Eufinger, Andrej Gill | 9 | Transparency Lab, Law and Finance, Experiment Center | 2013 | Basel III, capital regulation, compensation, leverage, risk | 201301 |
Insight Private Equity |
Andrej Gill, Nikolai Visnjic | 23 | Law and Finance, Transparency Lab, Experiment Center | 2013 | private equity, leveraged buyouts, active shareholders, corporate restructuring, operational performance | 201301 |
Performance Benefits of Tight Control |
Andrej Gill, Nikolai Visnjic | 24 | Law and Finance, Transparency Lab, Experiment Center | 2013 | private equity, leveraged buyouts, active shareholders, ownership concentration, corporate governance | 201301 |
Bank Rescues and Bailout Expectations: The Erosion of Market Discipline During the Financial Crisis |
Florian Hett, Alexander Schmidt | 36 | Transparency Lab, Financial Intermediation, Experiment Center | 2013 | Bailout, Implicit Guarantees, Too-Big-To-Fail, Market Discipline | 201301 |
Add-On Pricing in Retail Financial Markets and the Fallacies of Consumer Education |
Michael Kosfeld, Ulrich Schüwer | 47 | Household Finance, Experiment Center | 2014 | consumer education,financial literacy, bounded rationality, competition, regulation | 201401 |
Anchoring in Experimental Asset Markets |
Sascha Baghestanian, Todd B. Walker | 54 | Financial Markets, Experiment Center | 2014 | Experimental Asset Markets, Anchoring, Bubbles | 201401 |
Measuring Ambiguity Aversion: A Systematic Experimental Approach |
Jan Pieter Krahnen, Peter Ockenfels, Christian Wilde | 55 | Financial Intermediation, Financial Markets, Transparency Lab, Experiment Center | 2014 | ambiguity, valuation discount, experimental economics | 201401 |
Peer Effects and Risk Sharing in Experimental Asset Markets |
Sascha Baghestanian, Paul Gortner, Joël van der Weele | 67 | Household Finance, Financial Markets, Experiment Center | 2014 | peer effects, laboratory experiments, risk taking, asset markets | 201401 |
Credit Cycles: Experimental Evidence |
Baptiste Massenot | 104 | Macro and Finance, Experiment Center | 2015 | - | 201501 |
Compensation Schemes, Liquidity Provision, and Asset Prices: An Experimental Analysis |
Sascha Baghestanian, Paul Gortner, Baptiste Massenot | 108 | Law and Finance, Experiment Center | 2015 | compensation, liquidity, experimental asset markets, bubbles | 201501 |
Reputation, Honesty, and Cheating in Informal Milk Markets in India |
Markus Kröll, Devesh Rustagi | 134 | Law and Finance, Experiment Center | 2016 | Motivation for honesty, asymmetric information, cheating, informal markets, die game, milk, India | 201601 |
Pushing Through or Slacking Off? Heterogeneity in the Reaction to Rank Feedback |
Florian Hett, Felix Schmidt | 203 | Household Finance, Experiment Center | 2018 | heterogeneity, competitiveness; contest; rank feedback, relative performance evaluation | 201804 |
Leverage and Bubbles: Experimental Evidence |
Paul Gortner, Baptiste Massenot | 239 | Macro and Finance, Experiment Center | 2018 | 201812 | |
Belief Formation and Belief Updating under Ambiguity: Evidence from Experiments |
Wenhui Li, Christian Wilde | 251 | Financial Markets, Experiment Center | 2019 | ambiguity, learning strategy, belief updates, non-Bayesian updates, pessimism, laboratory experiments | 201906 |
The Terminator of Social Welfare? The Economic Consequences of Algorithmic Discrimination |
Benjamin M. Abdel-Karim, Kevin Bauer, Oliver Hinz, Michael Kosfeld, Nicolas Winfried Pfeuffer | 287 | Financial Intermediation, Experiment Center | 2020 | Algorithmic Discrimination, Artificial Intelligence, Game Theory, Economics, Batch Learning | 202009 |
Policy Papers
| July 2018 |
Measuring Time Inconsistency Using Financial Transaction Data |
Andrej Gill, Florian Hett, Johannes Tischer | Household Finance, Experiment Center | financial transaction data, financial decision-making, time inconsistency, present bias | 2018-07 |
| September 2017 |
Undermined Market Discipline: The Role of Bank Rescues and Bailout Expectations |
Florian Hett, Johannes Kasinger | Financial Intermediation, Experiment Center | bailout, market discipline, financial institutions, financial crisis, banks | 2017-09 |
Research Projects
| Publication Count | ||||||
|---|---|---|---|---|---|---|
| Experiment Center, Household Finance | Experiential Learning Through FinTech Applications |
Andrej Gill, Florian Hett | 2020 | experiential learning, goal setting, personal finance management, financial literacy, overconfidence | 232404 | 0 |
| Experiment Center, Household Finance | Collective Action and Institution Formation - The Role of Group Size |
Julian Detemple, Michael Kosfeld | 2020 | 232403 | 0 | |
| Household Finance, Experiment Center | Moral (Mis)Behavior in the Era of Big Data |
Victor Klockmann, Marie-Claire Villeval, Alicia von Schenk | 2020 | 232402 | 0 | |
| Household Finance, Experiment Center | Moral Decisions and the Externality of AI Usage |
Victor Klockmann, Marie-Claire Villeval, Alicia von Schenk | 2020 | 232401 | 0 | |
| Financial Intermediation, Experiment Center | Digitalization of the Financial System |
Kevin Bauer, Oliver Hinz | 2020 | Digital economics; Artificial intelligence; Human machine interaction; Algorithmic Unfairness; Hybrid human-machine behavior; Algorithms; Machine Learning, Decision Making; | 123101 | 1 |
| Financial Markets, Experiment Center | Experimental Asset Markets - Price Formation in the Presence of Ambiguity |
Wenhui Li, Peter Ockenfels, Christian Wilde | 2019 | Experimental asset markets, information transmission, price formation, ambiguity | 133102 | 1 |
| Household Finance, Experiment Center | Using Behavioral Experiments to Capture Time Inconsistency in Households Financial Decision Making |
Andrej Gill, Florian Hett | 2019 | financial mistakes, transaction data, household finance, time-inconsistency, present bias, time preferences, online experiment, preference heterogeneity | 21337 | 0 |
| Household Finance, Experiment Center | Heterogeneity in the Sensitivity to Dynamic Incentives |
Florian Hett, Felix Schmidt | 2018 | Peer Effects, Laboratory Experiments, Experimental Finance, Tournaments, Behavioral Finance, Rank Incentives | 21329 | 1 |
| Law and Finance, Experiment Center | Gender Diversity, Decision Rules, and the Risk Appetite of Teams |
Renée Adams, Andreas Grunewald, Ferdinand von Siemens | 2017 | Corporate Boards, Gender Diversity, Risk Taking, Banking, Teams | 21223 | 0 |
| Household Finance, Experiment Center | Financial Decision Making and Present Bias |
Andrej Gill, Florian Hett, Johannes Tischer | 2017 | financial mistakes, transaction data, household finance, time-inconsistency, present bias, time preferences, online experiment, randomized controlled trial, preference heterogeneity, commitment devices, nudging | 21321 | 1 |
| Experiment Center, Financial Intermediation | Measuring Time Inconsistency by Using Bank Account Data |
Andrej Gill, Florian Hett | 2016 | financial mistakes, transaction data, household finance, time-inconsistency, present bias, time preferences | 21640 | 1 |
| Household Finance, Experiment Center | Financial Networks in the Field |
Paul Gortner, Joël van der Weele | 2016 | 21650 | 1 | |
| Financial Markets, Experiment Center | Experimental Asset Markets – Regulation and Design of Fragmented Markets |
Peter Ockenfels, Christian Wilde | 2016 | 21620 | 1 | |
| Financial Intermediation, Experiment Center | Financial Interactions in the Presence of Ambiguity |
Wenhui Li, Peter Ockenfels, Christian Wilde | 2016 | 21650 | 1 | |
| Macro and Finance, Financial Intermediation, Law and Finance, Financial Markets, Experiment Center | Capital Requirements and Financial Stability: Experimental Evidence |
Paul Gortner, Baptiste Massenot | 2016 | 21650 | 1 | |
| Financial Intermediation, Experiment Center | Banking Structure and Dynamics of Small and Medium Sized Enterprises |
Douglas Cumming, Christian Eufinger, Andrej Gill, David Heller, Jan Krzyzanowski, Uwe Walz | 2016 | 21640 | 1 | |
| Macro and Finance, Experiment Center | Fragility of Credit Markets |
Sascha Baghestanian, Baptiste Massenot | 2014 | Experimental Loan Markets, Gambler's Fallacy, House Money Effect, Break Even Effect | 11528 | 1 |
| Transparency Lab, Experiment Center, Household Finance | Non-Standard Preferences and Financial Decision Making |
Sascha Baghestanian, Paul Gortner, Matthias Heinz, Heiner Schumacher, Joël van der Weele | 2014 | Social Preferences, Financial Institutions, Incentives | 11223 | 1 |
| Experiment Center, Financial Markets | Excessive Risk Taking, Compensation Schemes and Financial Market Stability |
Sascha Baghestanian, Paul Gortner, Baptiste Massenot | 2014 | Compensation Schemes, Bubbles, Risk Seeking, Liquidity, Experimental Asset Markets | 11226 | 1 |
| Experiment Center, Financial Markets | Non-Standard Preferences in Experimental Asset Markets |
Matthias Blonski, Paul Gortner, Heiner Schumacher, Joël van der Weele | 2014 | laboratory experiments, experimental asset markets, peer effects, social preferences | 11231 | 1 |
| Law and Finance, Experiment Center | Corruption in the Lab and in the Field: Evidence from a Market for Credence Goods |
Markus Kröll, Devesh Rustagi | 2014 | Corruption, economic experiments, India, Milkmen | 11228 | 1 |
| Financial Intermediation, Transparency Lab, Experiment Center | Experimental Studies on Ambiguity and Ambiguity Aversion |
Jan Pieter Krahnen, Peter Ockenfels, Christian Wilde | 2013 | ambiguity, ambiguity aversion, valuation discount, experimental economics | 11125 | 1 |
| Transparency Lab, Systemic Risk Lab, Experiment Center, Financial Intermediation | Corporate Governance in Banks |
Tim Eisert, Christian Eufinger, Andrej Gill, Christian Hirsch, Uwe Walz | 2013 | Corporate Governance, Financial Institutions, Management Compensation, Moral Hazard, Ownership Structure, Risk Shifting | 11221 | 1 |
Current Research Team
| Researcher | Position |
|---|---|
| Bauer, Kevin | Junior Researcher |
| Gill, Andrej | External Researcher |
| Hett, Florian | External Researcher |
| Klockmann, Victor | External Researcher |
| Kosfeld, Michael | Senior Researcher, SAFE Fellow |
| Laudenbach, Christine | External Researcher |
| Li, Wenhui | Research Assistant |
| Ockenfels, Peter | Senior Researcher, SAFE Fellow |
| Poensgen, David | External Researcher |
| Sabet, Navid | External Researcher |
| von Schenk, Alicia | External Researcher |
| von Siemens, Ferdinand | External Researcher, SAFE Fellow |
| Wilde, Christian | External Researcher, Research Affiliate |