Ibanez, Marcela () (Department of Economics, School of Business, Economics and Law, Göteborg University) Martinsson, Peter (Department of Economics, School of Business, Economics and Law, Göteborg University)
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Laboratory experiments are potentially effective tools for studying behavior in settings where little or no information would otherwise exist such as participation in illicit activities. However, using laboratory experiments to draw policy recommendations is highly debatable. We investigate the external validity of a framed field experiment that mimics coca cultivation and find evidence that behavior in the experiment is consistent with self-reported behavior. We use the experiment to discuss the effectiveness of carrot and stick policies on coca investments. The experiment indicates that subjects are more responsive to changes in the relative profit of cattle farming than to changes in the probability of coca eradication.
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Paper provided by Göteborg University, Department of Economics in its series Working Papers in Economics with number
306.
Length: 28 pages Date of creation: 27 May 2008 Date of revision: Handle: RePEc:hhs:gunwpe:0306
Contact details of provider: Postal: Department of Economics, School of Business, Economics and Law, Göteborg University Box 640, SE 405 30 GÖTEBORG, Sweden Phone: 031-773 10 00 Web page: http://www.handels.gu.se/econ/ More information through EDIRC
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Find related papers by JEL classification: C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments D62 - Microeconomics - - Welfare Economics - - - Externalities K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
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