Handbook of Labor Economics, Vol. 4, No. Suppl PA, 2011
Chapter 3Lab Labor: What Can Labor Economists Learn from the Lab?
This chapter surveys the contributions of laboratory experiments to labor economics. We begin with a discussion of methodological issues: when (and why) is a lab experiment the best approach; how do laboratory experiments compare to field experiments; and what are the main design issues? We then summarize the substantive contributions of laboratory experiments to our understanding of principal-agent interactions, social preferences, union-firm bargaining, arbitration, gender differentials, ...