Economic Institutions for Group Decisions about Shared Goods (2008)
Edna T. Loehman, Richard Kiser, Stephen J. Rassenti
For a shared good, a group of users determines its nature and shares its cost. In spite of heterogeneity in preferences and ability to pay, equal cost sharing is common for such goods. To facilitate...
Using experiments to inform the privatization/deregulation movement in electricity (2002)
Stephen J. Rassenti, Vernon L. Smith, Bart J. Wilson
known as e-commerce) in the experimental laboratory began in 1976 when Arlington Williams conducted the initial experiments testing the first electronic “double-auction ” trading system, which he...
Structural Features that Contribute to Market Power (2000)
Stephen J. Rassenti, Vernon L. Smith, Bart J. Wilson
In this paper we report an experiment that examines a primary concern of policy makers: how a structural feature of electric power networks can contribute to the exercise of market power by...
Controlling market power and price spikes in electricity networks: Demand-side bidding
Rassenti, Stephen J., Smith, Vernon L., Wilson, Bart J.
In this article we report an experiment that examines how demand-side bidding can discipline generators in a market for electric power. First we develop a treatment without demand-side bidding; two...
Controlling market power and price spikes in electricity networks: Demand-side bidding
Rassenti, Stephen J., Smith, Vernon L., Wilson, Bart J.
In this article we report an experiment that examines how demand-side bidding can discipline generators in a market for electric power. First we develop a treatment without demand-side bidding; two...
How Applicable is the Dominant Firm Model of Price Leadership?
Stephen J. Rassenti, Bart J. Wilson
In this paper, we examine the usefulness of the dominant firm model of price leadership to serve as a benchmark for organizing behavior in laboratory markets. This well established model, whose...
Rassenti, Stephen J, Smith, Vernon L, Wilson, Bart J
A "pay-as-offered" or discriminatory price auction (DPA) has been proposed to solve the problem of inflated and volatile wholesale electricity prices. Using the experimental method we compare the DPA...
INCORPORATING INSTREAM FLOW VALUES INTO A WATER MARKET
Murphy, James J., Dinar, Ariel, Howitt, Richard E., Rassenti, Stephen J., Smith, Vernon L., Weinberg, Marca
We use laboratory experiments to test three different water market institutions designed to incorporate instream flow values into the allocation. The institutions are (1) a baseline with fixed...
MECHANISMS FOR ADDRESSING THIRD PARTY IMPACTS RESULTING FROM VOLUNTARY WATER TRANSFERS
Murphy, James J., Dinar, Ariel, Howitt, Richard E., Mastrangelo, Erin, Rassenti, Stephen J., Smith, Vernon L.
This paper uses laboratory experiments to test alternative water market institutions designed to protect third party interests. The institutions tested include taxing mechanisms that raise revenue to...