In this book, a social dilemma with partner selection is introduced and studied with the methods of formal game theory, experimental economics and computer simulations. It allows exploration of simultaneous dynamics of the network structure and cooperative behavior on this structure. The results of this study show that partner choice strongly facilitates cooperation and leads to networks where free-riders are likely to be excluded.

The first Handbook in economics dedicated to the discussion of the methods of experimental economics, this timely book analyses the current state-of-the-art in the field. The chapters systematically cover the most relevant issues in experimental design and implementation, while also exploring novel research developments. Offering a comprehensive review of experimental methods in economics, this 21 chapter Handbook covers theoretical and practical issues including: recruitment, software and laboratory organization, incentives, data analysis, and theory and policy development. Expert...