Abstract:

The use of laboratory experiments as a method of testing economic theories began in the 1960s. With these practices, significant developments have now occurred in the procedure and principles to be followed in economic experiments. Through their laboratory experiments, economists gained the opportunity to observe how people make decisions in an environment like in the real world and to test the validity of economic theories. Laboratory experiments in the economy have been more aimed at testing theories of different market structures such as negotiations, balance, price proposals. In the field of international economy, a very few laboratory experiments have been conducted. These few experiments were more aimed at testing theories of international trade and exchange rate. The aim of this study is also to introduce the laboratory method used in the economy and to show how it is applied to international economics studies in the context of advanced studies.