Contents

Figures
Tables
Acknowledgenients

INTRODUCTION

1. Introduction
Tyler C'owen and Eric Crampton

PART I NEW MARKET FAILURE THEORIES
2. Toward a general theory of wage and price rigidities and economic fluctuations
Joseph E. Stigiitz

3. Keynesian economics and critique of first fundamental theorem of welfare economics
Joseph E. Stiglitz

4. The market for 'lernons': quality uncertainty and the rnarket mechanism
George A. Akerioj

5. Path dependence, its critics and the quest for 'historical economics
Paul A. David

PART 2 THEORETICAL RESPONSES
6. Inlormation and efficiency: another viewpoint
Harold Demsetz

7. Efficiency wage modeis of unemployment: one view
H. Lorne Carrnichael

8. Do informational frictions justify federal credit programs?
Stephen D. Williamson

9. The dernand for and supply of assurance
Daniel B. Klein

PART 3 EMPIRICAL AND EXPERIMENTAL RESPONSES
10. Beta, Macintosh and other fabulous tales
Sían J. Liebowitz and Stephen E. Margolis

11.Some evidence on the empirical significance of credit rationing
Alien N. Berger and Gregorv F Udeli

12. An empirical examination of information barriers to trade in insurance
John cawley and Tomas Philipson

13. A direct test of the 'lemons' model: the market for used pickup trucks
Eric W. Bond

14. Public choice experiments
Elizabeth Hoffman

15. Non-prisoner's dilemma
Gordon Tuliock

16.Group size and the voluntary provision ofpublic goods: experimental evidence utilizing large groups
R. Mark Isaac, James M. Waiker and Arlingion W. Williams

17. Cooperation in public-goods experiments: kindness or confusion?
Jaines Andreoni

Index