Student Subject Pools Research Articles

Does the Fundamental Transformation Deter Trade? An Experiment

Abstract Oliver Williamson has coined the term “fundamental transformation.” It captures the following situation: before they strike a deal, buyers and sellers are protected by competition. Yet, thereafter, they find themselves in a bilateral monopoly. With common knowledge of standard preferences, both sides would conclude the contract regardless if its expected value exceeds their outside options. We run an experiment to test whether additional behavioral concerns deter mutually beneficial trade. We test four concerns: If the risk materializes, another individual makes a windfall profit; she does so by intentionally exploiting another individual; the exploited individual may be her assigned partner; the individual that is let down is her contractual partner, and hence has voluntarily exposed herself to this risk. Behavioral effects are heterogeneous. About a quarter of participants from a standard student subject pool exhibit the hypothesized additional deterrent effect. This fraction is bigger than a third if participants interact with a random partner from somewhere in the world.

Framing and subject pool effects in healthcare credence goods

Credence goods markets are characterized by asymmetric information between experts and consumers, specifically relating to quality (what is needed and/or supplied). The functioning of the market is heavily reliant on trust on the side of the consumer and trustworthiness on the side of the expert. However, a large body of empirical and experimental research has demonstrated the existence of overtreatment, undertreatment, and overcharging in several credence goods markets. In this paper, we study two determinants of trust and trustworthiness in experimental credence goods markets: the effects of a health frame (vs. a neutral frame) and an expert subject pool (vs. standard student subject pool). Our results reveal that the subject pool, in combination with the health frame, has a significant impact on the level of trust and trustworthiness, shown by a higher willingness of consumers (patients) to enter the market and a lower rate of undertreatment by experts.

When do we observe a gender gap in competition entry? A meta-analysis of the experimental literature

This paper systematizes the experimental evidence on gender differences in competition preferences with a meta-analysis of 110 studies and 409 effect sizes on observed or residual gender gaps in experimental tournament entry. Our meta-summary confirms that, across all studies, men choose a tournament scheme 13 percentage points more often than women, which is only about a third of the gap found in Niederle and Vesterlund's (2007) seminal paper. Our meta-regression analysis reveals that larger gender differences are indeed prevalent in studies that most closely apply the Niederle-Vesterlund design, i.e., differences are largest in lab experiments with student subject pools and when math tasks are involved, but almost negligible for other age groups, verbal tasks, and in field-like environments. Experimental interventions such as information treatments or affirmative action measures prove very effective in reducing or even eliminating the gender gap. Although some measures of risk preferences and confidence are systematically related to the estimated residual gender gap in tournament entry, they do not eradicate competitiveness as a distinct trait. Finally, higher gender equality at the country level seems to go along with larger differences in women's and men's competition preferences.

How do different compensation schemes and loss experience affect insurance decisions? Experimental evidence from two independent and heterogeneous samples

Natural hazard insurance is advocated as an important means of risk management, however, private insurance demand often remains below critical levels. Prior loss experience and the design of governmental relief schemes are two factors potentially influencing insurance decisions. We address these two elements in monetary incentivized experiments which include representations of natural hazard insurance schemes in Europe. The experiment reflects two possible designs of governmental relief schemes: partial but guaranteed relief and full but non-guaranteed relief. The risk of loss is kept constant over ten consecutive rounds to analyze the effect of loss experience. The experiment is administered twice: as a laboratory experiment with a student subject pool in Mannheim, Germany, and as an online experiment with citizens of flood-prone areas in the city of Dornbirn, Austria. In both samples, the design of the governmental relief scheme has no effect on insurance decisions. We find that prior loss experience adversely affects insurance decisions; uninsured subjects tend to remain un-insured after experiencing a loss, and previously insured subjects often switch to non-insurance in the rounds after the loss. These results have important implications for the design of flood insurance and flood risk communication.

Cross-Validation of a Scale to Measure Contact With Older Adults

According to Allport (1954) intergroup contact would reduce prejudice that in-group members would experience toward out-group members. Allport also theorized that positive intergroup contact would follow after four conditions were met: (a) equal group status within the situation, (b) common goals, (c) intergroup cooperation, and (d) the support of authorities, law, or custom. While contact with older adults is a principal influence on attitudes toward older people, there is a paucity of adequate contact measures. This study assessed the cross-validity of the factor structure of an instrument to measure contact with older adults. The convenience sample consisted of 470 participants (61% male) from an undergraduate student subject pool (M = 20.67, SDtotal = 3.37). Participants were predominantly Caucasian (n=176, 48.9%), African American (n=103, 28.6%), and Hispanic/Latino/a (n=51, 14.2%). Results of a confirmatory factor analysis showed the three-factor model exhibited a reasonable fit to the data □□ (41, n = 360) = 191.797; p<.0001, CFI =.971; TLI =.961; RMSEA = .101 (90% CI, 0.087-0.116) SRMS = .042. An additional model examining the relationships between a single indicator of contact frequency and the three-factor COA scale revealed similar fit statistics □□ (41, n = 360) = 191.797; p<.0001, CFI =.967; TLI =.955; RMSEA = .092 (90% CI, 0.079-0.105) SRMS = .044. The findings provide clear and consistent evidence across independent samples that the covariances among the items are best explained through a latent structure that consists of three meaningful factors (“General Contact”, “Positive Experience, and “Negative Experience”).

Assessing Triggers of Posttrauma Nightmares.

Posttrauma nightmares are recurring nightmares that begin after a traumatic experience and can occur as often as multiple times per week, often in a seemingly random pattern. Although these nightmares are prevalent in trauma survivors, little is known about the mechanisms underlying their sporadic occurrence. The present study aimed to investigate predictors of posttrauma nightmares. The sample included 146 observations nested within 27 female college students who reported frequent nightmares related to sexual trauma. Participants were recruited from an undergraduate student subject pool (n = 71) or were clinical referrals (n = 75). Participants completed an initial assessment battery and six consecutive days of pre- and postsleep diaries, which included measures of potential posttrauma nightmare triggers and measures intended to assess sleep quality and posttrauma nightmare occurrence. Descriptive statistics, mean comparisons, and multilevel modeling were used to examine the data. The results showed that both presleep cognitive arousal, γ10 SLij = 0.58, p = .006, z(1, N = 146) = -2.61; and sleep latency (SL), γ20 PCAij = 0.76, p < .001, z(1, N = 146) = -2.69, predicted posttrauma nightmare occurrence. Further investigation suggested that presleep cognitive arousal moderated the relation between SL and posttrauma nightmare occurrence, γ30 PCA x SLij = 0.67, p = .048 z(1, N = 146) = 1.98. The present results are the first to show that the co-occurrence of presleep arousal and delayed sleep onset latency may influence posttrauma nightmare occurrence, suggesting that the time immediately before sleep is crucial to the production of the posttrauma nightmares.

Are patient-regarding preferences stable? Evidence from a laboratory experiment with physicians and medical students from different countries

We quantify patient-regarding preferences by fitting a bounded rationality model to data from an incentivized laboratory experiment, where Chinese medical doctors, German medical students and Chinese medical students decide under different payment schemes. We find a remarkable stability in patient-regarding preferences when comparing subject pools and we cannot reject the hypothesis of equal patient-regarding preferences in the three groups. The results suggest that a health economic experiment can provide knowledge that reach beyond the student subject pool, and that the preferences of decision-makers in one cultural context can be of relevance in a very different cultural context.

How Do Different Compensation Schemes and Loss Experience Affect Insurance Decisions? Experimental Evidence From Two Independent and Heterogeneous Samples

Although natural hazard insurance is advocated as an important means of risk management, private insurance demand often remains below critical levels. Prior loss experience and the design of governmental relief schemes are two factors potentially influencing insurance decisions. We address these two elements in monetary incentivized experiments which include representations of natural hazard insurance schemes in Europe. We draw on two very different samples: First, we run a laboratory experiment with a student subject pool in Germany. In addition, we replicate the experiment as an online experiment with citizens of flood-prone areas in the city of Dornbirn (Austria). The experiment reflects two possible designs of governmental relief schemes: partial but guaranteed relief and full but nonguaranteed relief. The risk of loss is kept constant over ten consecutive rounds to analyze the effect of loss experience. In both of our samples, the design of the governmental relief scheme has no effect on insurance decisions. Furthermore, prior loss experience adversely affects insurance decisions. Uninsured subjects tend to remain uninsured after experiencing a loss, and previously insured subjects often switch to non-insurance in the rounds after the loss. These results have important policy implications, e.g., for the optimal design of flood risk communication.

Online panels in social science research: Expanding sampling methods beyond Mechanical Turk

Amazon Mechanical Turk (MTurk) is widely used by behavioral scientists to recruit research participants. MTurk offers advantages over traditional student subject pools, but it also has important limitations. In particular, the MTurk population is small and potentially overused, and some groups of interest to behavioral scientists are underrepresented and difficult to recruit. Here we examined whether online research panels can avoid these limitations. Specifically, we compared sample composition, data quality (measured by effect sizes, internal reliability, and attention checks), and the non-naivete of participants recruited from MTurk and Prime Panels—an aggregate of online research panels. Prime Panels participants were more diverse in age, family composition, religiosity, education, and political attitudes. Prime Panels participants also reported less exposure to classic protocols and produced larger effect sizes, but only after screening out several participants who failed a screening task. We conclude that online research panels offer a unique opportunity for research, yet one with some important trade-offs.

On the Transportability of Laboratory Results

The “transportability” of laboratory findings to other instances than the original implementation entails the robustness of rates of observed behaviors and estimated treatment effects to changes in the specific research setting and in the sample under study. In four studies based on incentivized games of fairness, trust, and reciprocity, we evaluate (1) the sensitivity of laboratory results to locally recruited student-subject pools, (2) the comparability of behavioral data collected online and, under varying anonymity conditions, in the laboratory, (3) the generalizability of student-based results to the broader population, and (4) with a replication at Amazon Mechanical Turk, the stability of laboratory results across research contexts. For the class of laboratory designs using incentivized games as measurement instruments of prosocial behavior, we find that rates of behavior and the exact behavioral differences between decision situations do not transport beyond specific implementations. Most clearly, data obtained from standard participant pools differ significantly from those from the broader population. This undermines the use of empirically motivated laboratory studies to establish descriptive parameters of human behavior. Directions of the behavioral differences between games, in contrast, are remarkably robust to changes in samples and settings. Moreover, we find no evidence for either anonymity effects nor mode effects potentially biasing laboratory measurement. These results underscore the capacity of laboratory experiments to establish generalizable causal effects in theory-driven designs.

Where Will the British Go? And Why?*

ObjectiveImmigration is a highly salient political issue. We examine the migration preferences of potential emigrants from the United Kingdom to determine whether the migration calculus is primarily economic or political.MethodsA conjoint survey experiment was conducted with U.K. subjects drawn from the CESS, Nuffield College, Oxford University, student subject pool to identify causal drivers of emigration preferences.ResultsLogit estimation of emigration preferences indicates that economics and politics matters. Anti‐immigrant rhetoric, “Trumpian policies,” and the United States deter high‐skilled U.K. potential emigrants; economic growth, education, and social benefits attract them. Politics and social benefits are more important for those on the political left, while economics and education weigh more heavily for those on the right.ConclusionWhat will attract the highly skilled migrants from a post‐Brexit United Kingdom? Economics matters of course but for many of these potential emigrants politics is important—they are particularly sensitive to anti‐immigrant rhetoric.

The External Validity of College Student Subject Pools in Experimental Research: A Cross-Sample Comparison of Treatment Effect Heterogeneity

Are student subject experiment pools comparable across institutions? Despite repeated concerns over the “college sophomore problem,” many experiment-based studies still rely on student subject pools due to their convenience and accessibility. In this paper, I investigate whether student subject pools are comparable across universities by examining how respondents across three student subject pools at distinct educational institutions perform on the same survey experiment about crisis bargaining between states. I argue that, due to selection biases inherent in university matriculation and the self-selection of students into experimental protocols, respondents across these subject pools will exhibit key demographic differences. I also examine whether respondents across these subject pools think similarly about international politics and respond comparably to experimental treatments. I find that, while there are significant demographic differences across subject pools, subjects across institutions respond similarly to experimental treatments—with the key exception of information regarding the regime type of a state. Furthermore, there is little evidence that these demographic differences impact conditional average treatment effects across subgroups. These findings carry critical implications for the use of student samples across political science and within international relations more specifically, particularly regarding the current replication crisis in the discipline.

Sex, gender, and disasters: Experimental evidence on the decision to invest in resilience

Increasing sensitivity to terrorism, economic volatility, frequent and severe natural disasters, and infrastructure disruptions has intensified interest in resilience, the ability to withstand or recover from catastrophe. The growing research on disaster preparedness and recovery policies have been aggregate-level analyses focusing on communities, organizations, or the physical environments. Absent from this literature is an exploration of the role of individual decision-makers in determining the resilience strategies of firms, even though the hardiness of business is crucial to maintaining robust local, regional, and global economies. To address this, our research uses a randomized controlled experimental design to examine whether biological sex or gender diversity might lead to decision-making that improves investments in resilience to calamitous events. We study decisions related to a core resilience strategy, investment in inventories, across professional manager and student subject pools. We find that although females perceive a higher probability of a catastrophic event, male and female subjects do not make different investment decisions when faced with uncertainty and risk. Importantly, a gender construct capturing congruence with feminine personality attributes does correspond with increased resilience investment and is driven by differences between managers and students. Increased gender diversity in decision-making bodies may serve to improve economic resilience of firms and other organizations.

An Analysis of Data Quality: Professional Panels, Student Subject Pools, and Amazon's Mechanical Turk

Data collection using Internet-based samples has become increasingly popular in many social science disciplines, including advertising. This research examines whether one popular Internet data source, Amazon's Mechanical Turk (MTurk), is an appropriate substitute for other popular samples utilized in advertising research. Specifically, a five-sample between-subjects experiment was conducted to help researchers who utilize MTurk in advertising experiments understand the strengths and weaknesses of MTurk relative to student samples and professional panels. In comparisons across five samples, results show that the MTurk data outperformed panel data procured from two separate professional marketing research companies across various measures of data quality. The MTurk data were also compared to two different student samples, and results show the data were at least comparable in quality. While researchers may consider MTurk samples as a viable alternative to student samples when testing theory-driven outcomes, precautions should be taken to ensure the quality of data regardless of the source. Best practices for ensuring data quality are offered for advertising researchers who utilize MTurk for data collection.

The incentive effects of missions—Evidence from experiments with NGO employees and students

This paper studies the incentive effects of an organization׳s ‘mission’ on the effort provision of agents. Across treatments, I exogenously vary how much the agents׳ and their projects׳ missions match. In the first study, NGO employees are assigned the role of agents in an online, one-shot, principal-agent experiment. In the second study, I replicate the experimental design with a student subject pool. In both experiments the agents׳ effort choices are, for any given piece rate, increasing in their mission match. In a third study, a laboratory experiment with a finitely repeated principal-agent game with random matching, I do not find a motivational effect of missions, unlike in my first two studies.

Conceptual Model and Economic Experiments to Explain Nonpersistence and Enable Mechanism Designs Fostering Behavioral Change

BackgroundMedical nonpersistence is a worldwide problem of striking magnitude. Although many fields of studies including epidemiology, sociology, and psychology try to identify determinants for medical nonpersistence, comprehensive research to explain medical nonpersistence from an economics perspective is rather scarce. ObjectivesThe aim of the study was to develop a conceptual framework that augments standard economic choice theory with psychological concepts of behavioral economics to understand how patients’ preferences for discontinuing with therapy arise over the course of the medical treatment. The availability of such a framework allows the targeted design of mechanisms for intervention strategies. MethodsOur conceptual framework models the patient as an active economic agent who evaluates the benefits and costs for continuing with therapy. We argue that a combination of loss aversion and mental accounting operations explains why patients discontinue with therapy at a specific point in time. We designed a randomized laboratory economic experiment with a student subject pool to investigate the behavioral predictions. ResultsSubjects continue with therapy as long as experienced utility losses have to be compensated. As soon as previous losses are evened out, subjects perceive the marginal benefit of persistence lower than in the beginning of the treatment. Consequently, subjects start to discontinue with therapy. ConclusionsOur results highlight that concepts of behavioral economics capture the dynamic structure of medical nonpersistence better than does standard economic choice theory. We recommend that behavioral economics should be a mandatory part of the development of possible intervention strategies aimed at improving patients’ compliance and persistence behavior.

Norm Enforcement in Social Dilemmas: An Experiment with Police Commissioners

Do individuals trained in law enforcement punish or reward differently from typical student subjects ? We analyze norm enforcement behavior of newly appointed police commissioners in both a Voluntary Contribution Mechanism game and a Common Pool Resource game. Our experimental design includes treatments where a reward or sanction institution is exogenously imposed, as well as treatments with endogenous selection of the norm enforcement institution. Compared to a standard student-subject pool, police commissioners cooperate significantly more in both games. With exogenous institutions, police commissioners bear a higher burden of punishment costs than non-police subjects. When the norm enforcement institution is endogenous, all subjects vote more in favor of rewards over sanctions, but police subjects with some work experience are more likely to vote for sanctions. Police subjects also reward and sanction more than the others when the institution results from a majority vote.

Convenient yet not a convenience sample: Jury pools as experimental subject pools

Scholars greatly benefit from access to convenient, inexpensive data sources. Many researchers rely on student subject pools, a practice that raises concern about the “college sophomore problem,” or the possibility that findings from student subjects do not generalize beyond the campus. As an accessible, low cost, and heterogeneous data source, some researchers have used subjects recruited from jury pools, which are drawn from randomly-selected citizens required by law to appear for jury duty. In this paper, we discuss the strengths and weaknesses of this approach. First, we review pragmatic considerations involving access to jury pools, substantive content, the administration of survey-experiments, and the financial costs and benefits of this approach. Next, we present evidence regarding the quality of jury pool samples in terms of response rates, diversity, and representativeness. We conclude that jury pools, given proper attention to their limitations, offer an attractive addition to the viable sources of experimental data.

Divide and prosper? When partitioned prices make sense

PurposeThis research seeks to investigate the relationship between product bundling strategies and brand value.Design/methodology/approachThree studies were conducted, two using student subject pools and another using data collected from online auctions. The impacts of brand and bundling strategy stimuli on the dependent variables product choice and price paid were measured.FindingsBundles offered by low‐tier brands are more attractive when they are offered in a combined price format than in a partitioned price format. Bundles offered by high‐tier brands are more attractive when they are offered in a partitioned price format than in a combined price format.Research limitations/implicationsThe cost of bundle elements to the firm, which may influence consumer reference prices, is not considered in this research. Also, the impacts of bundle pricing strategies are evaluated on the bundles only; the influence of a given strategy on a product portfolio is left for future research.Practical implicationsFirms should consider the status of its brand within its product category before deciding on a bundle pricing strategy.Originality/valueThis research has important implications regarding the pricing of product bundles. It also provides a new perspective on how consumers evaluate product bundles

Regulatory focus as a determinant of brand value

PurposeThis research aims to investigate the relationship between consumer regulatory focus and brand value.Design/methodology/approachThree studies were conducted using both student subject pools and a broader sample from the US population. The relative chronic promotion or prevention orientation of each participant was measured, as was response to brand and pricing stimuli.FindingsPromotion‐oriented individuals are more sensitive to differences in established brands than prevention‐oriented individuals (studies 1 and 2), and promotion‐oriented individuals have a greater preference for new brands than prevention‐oriented individuals (study 2). Also, an individual's degree of chronic promotion orientation is an important driver of this relationship (study 3).Research limitations/implicationsBrand quality is considered as a general concept rather than a multidimensional construct. Although brand is a largely affective and emotional product attribute, brand trust is a dimension of quality that helps to satisfy prevention goals. A deeper investigation of the relationship between brand trust and prevention goals is recommended for future research.Practical implicationsFirms should consider the status of their brand within their product category. A firm with a relatively high quality brand can aggressively enter new categories early in the category lifecycle. Lower quality brands may benefit more from reinforcing their position in existing categories, or creating new brands for new categories.Originality/valueThis research has important implications regarding the timing and pricing of product upgrades.