Visiting Scholar: Tingting Wu

The Department of Economics hosted visiting Scholar Tingting Wu during her Post doctoral work for the Winter and Spring.

Dr. Bradley Ruffle, the Academic Director of our Experimental Economics Lab (McDSL) hosted Tingting Wu, an applied microeconomist who works in experimental economics, exploring real world issues.

We chatted with Tingting before her return to the University of Singapore. Here’s what she had to say!

Tell us a bit about what brought you to McMaster

I’m and applied microeconomist. I am currently based in National University of Singapore. I am working in the field of behavioural and experimental economics. Prof. Bradley is also active in this area and leads a strong experimental team, along with the McDSL laboratory at McMaster. These are the main reasons that brought me here.

What brought you to experimental economics? 

This idea came to me while I was reading Poor Economics by Prof. Esther Duflo. The book describes how researchers use an experimental methodology—randomized controlled trials (RCTs)—to study practical questions like the poverty trap. Their approach is quite different from the traditional or classical economics I learned in school. This inspired me to explore more about experimental economics, and I realized that experimental methodology in general is a powerful tool for understanding human decision-making processes. Eventually, I decided to pursue research in this field.

What do you like about experimental economics?

What I like about experimental economics is that it allows us to test theories in a controlled and systematic way, observing how people actually behave rather than relying solely on abstract assumptions or observational data. For research purposes, we experimental economists face fewer limitations in terms of available datasets, which gives us the freedom to think creatively from the very beginning. I especially enjoy the process of designing experiments—we have more flexibility to create interesting games and setups that address rigorous economic questions. Unlike traditional economics, experimental methods also allow us to identify and analyze the irrational or unexpected aspects of human behaviour.

What is your favourite result from experimental economics?

I don’t have a single favourite result, but I find it especially interesting whenever experimental results contradict the predictions of traditional economic theory based on the assumption of rationality. These cases highlight the importance of experimental economics in uncovering patterns in human decision-making without relying on the rationality assumption.

Why should someone study economics?

Studying economics helps people understand how the world works, at both individual and global levels. It helps explain why people make certain decisions, how resources are allocated, and how policies affect society. Moreover, it helps us cultivate critical thinking skills and gain a deeper understanding of the social world around us.

What insights do you hope your research can introduce to the field?

As an early-stage researcher, I’m still in the process of refining my research niche, but I aim to contribute to the literature by exploring how social preferences shape strategic behaviours. My current work also investigates how platforms or intermediaries disclose information to different sides of the market—such as buyers and sellers—and how these strategies are influenced by fairness concerns, reciprocity, or other-regarding preferences. I hope this line of inquiry can offer new insights into the design of more efficient and ethically sound mechanisms in digital marketplaces and enrich the growing literature at the intersection of behavioural economics and platform design.

How do controlled experiments help economists test theories compared to traditional economic models?

Controlled experiments allow economists to test theories in a way that complements traditional economic models by isolating specific variables and identifying causal relationships. While theoretical models often rely on assumptions like perfect rationality or complete information, experiments provide empirical evidence on how people actually behave—often shaped by fairness concerns, emotions, or cognitive biases. This method enhances the realism of economic insights and informs more accurate, evidence-based policy design. By observing behaviour in controlled settings, economists can validate, refine, or even challenge existing models, making the discipline more grounded in observed human decision-making.

Can you walk us through a recent experiment you conducted and its findings?

One recent experiment I conducted explores how receivers behave in a disclosure game, specifically examining whether their naivety in unravelling results is driven by cognitive mistakes or inaccurate beliefs about their opponents. In the experiment, we invited students to the lab to play a simple disclosure game: receivers first received payoff-relevant state information from senders, and then decided whether to cooperate or defect.

Our findings suggest that receivers often fail to best respond to the sender’s strategy—particularly when senders chose to undisclosed the state information. In such cases, receivers are significantly more likely to choose cooperation regardless of the sender’s intent, implying a tendency toward optimistic or positively biased expectations. Furthermore, when senders’ strategies require receivers to make backward inferences, the likelihood of mistakes increases.

While we’ve uncovered several interesting patterns, we are still in the process of conducting robustness checks to confirm the stability of our results.

What are some common challenges in designing economic experiments, and how do you address them?

Common challenges include ensuring incentive compatibility, as participants may not reveal their true preferences unless they are properly motivated. The most common solution is to make sure that every single decision that participants made in experiments is motivated either monetary or other contexts that they care.

Another frequently mentioned concern, especially by economists in other fields, is the external validity of findings from a specific experiment. While there are some differences between lab and field results, a substantial body of research finds that behaviour in well-designed lab experiments often qualitatively mirrors behaviour in the field, particularly when incentives, context, and framing are carefully aligned. However, quantitative differences can still arise due to factors such as stake size, anonymity, and real-world complexity.

Therefore, when designing experiments, it is important to keep these limitations in mind. We should aim to frame tasks in ways that closely resemble real-world scenarios to enhance the applicability of our findings. Additionally, running replications across different contexts and combining experimental data with observational or survey data can further strengthen the robustness and generalizability of conclusions.

How does experimental economics influence real-world economic policies and decision-making?

Experimental economics influences real-world economic policies by providing evidence-based insights into how people actually behave, rather than how they are assumed to behave in traditional models. These findings help governments, NGOs, and institutions design smarter policies in areas like tax compliance, health behaviour, education, and poverty reduction. In short, experiments make economic decision-making more grounded, targeted, and effective.

Are there any emerging areas in experimental economics that excite you or that you believe deserve more attention?

Currently I started to conduct research in experimental finance, where we study the behavioural bias of investors through designing the experiment to replicate the stock market in a simple way. I believe that the combination with general behavioural economics and financial economics would contribute.

What advice might you give a graduate economics student considering their future?

No matter whether they choose to pursue a higher degree like a Ph.D. or enter the industry, they should stay curious and keep calm, onward.

As you leave McMaster, do you have any thoughts about your stay?

I had a very positive impression of McMaster, particularly the McDSL group. It’s a friendly and open environment for conducting research in experimental economics. The team is highly active, intellectually engaging, and always open to discussion and collaboration. I also appreciated how welcoming the Economics Department was to visitors, I truly felt at home during my time there.

Thank you so much for having me at the McDSL group. I truly enjoyed my visit and hope to return again sometime in the future.

Interested in Experimental Economics? You can sign up today to participate in paid experiments right here on campus!