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Handbook of Experimental Economic Methodology$
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Guillaume R. Fréchette and Andrew Schotter

Print publication date: 2015

Print ISBN-13: 9780195328325

Published to Oxford Scholarship Online: March 2015

DOI: 10.1093/acprof:oso/9780195328325.001.0001

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Intelligent Design: The Relationship Between Economic Theory and Experiments: Treatment-driven Experiments

Intelligent Design: The Relationship Between Economic Theory and Experiments: Treatment-driven Experiments

Chapter:
(p.104) 5 Intelligent Design: The Relationship Between Economic Theory and Experiments: Treatment-driven Experiments
Source:
Handbook of Experimental Economic Methodology
Author(s):

Muriel Niederle

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780195328325.003.0006

This chapter focuses on the interplay between experimental design and the testing of hypotheses. This includes hypotheses that rely on theory, as well as some that are described less formally. Specifically, it shows how in many cases intelligent design can provide direct tests, instead of having to rely on indirect evidence. The chapter is organized as follows. The section entitled “Belief-Based Models—A Direct Test” shows a line of work where the test of the theory becomes more and more stringent, casting new doubts on the validity of the theory. The section entitled “Experimental Design and Hypothesis Testing” presents ways in which theory can be tested. The section “What Channels Drive a Result? Treatment-Driven Experiment,” shows how the methods used when testing theory apply even when there is no detailed model. It shows how experiments can be used in trying to understand the important channels that drive a phenomenon.

Keywords:   experimental design, hypothesis testing, intelligent design, theory

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