The logic of adaptive sequential experimentation in policy design

In this paper, we argue that economists can learn a great deal from the design principles implemented in medical research. We develop a theoretical model to show the logic of adaptive sequential experiment design in the presence of uncertainty over negative effects and discuss how to choose samples...

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Bibliographic Details
Main Authors: Xing, Haipeng, Zhang, Xiaobo
Format: Artículo preliminar
Language:Inglés
Published: International Food Policy Research Institute 2013
Subjects:
Online Access:https://hdl.handle.net/10568/153542
Description
Summary:In this paper, we argue that economists can learn a great deal from the design principles implemented in medical research. We develop a theoretical model to show the logic of adaptive sequential experiment design in the presence of uncertainty over negative effects and discuss how to choose samples in a population to minimize the experiment cost. We also point out the applications of our proposed framework in the economic domain, such as economic reforms and new product design.