The Centro Vernon Smith de Economía Experimental in Guatemala

Diego Aycinena is Catedrático at the Facultad de Ciencias Económicas and Director of the Centro Vernon Smith de Economía Experimental of Universidad Francisco Marroquín in Guatemala. He focuses on using laboratory experiments to test alternative market mechanisms and field experiments to evaluate the impact of new financial products on migrants and their families.

Diego received his Ph.D. from George Mason University and his dissertation used experimental economics to test alternative mechanisms to procure energy and reserves for electric power markets. His dissertation advisor was Vernon Smith and his dissertation was possible due to the generous financial support provided by IFREE.

The Centro Vernon Smith de Economía Experimental (the Vernon Smith Center for Experimental Economics) is the experimental economics center of the Facultad de Ciencias Económicas at UFM. The mission statement for the center is to promote the experimental methods for economic and other social sciences through the generation, dissemination and transmission of applicable knowledge obtained through rigorous experimental methods.

Dr. Aycinena envisions the role of the lab in Guatemala and Latin America in the not so distant future as first, a top-tier experimental economics lab that generates, disseminates and transmits – at the local and international level – new economic (and interdisciplinary) knowledge based on the rigorous application of experimental methods. Second, the main magnet to enable the Facultad de Ciencias Económicas [Economics Department] and the UFM to draw and retain the highest level of talent among faculty members and students (at the local and international level). And finally, THE Experimental Economics Lab in Latin America, dedicated to promoting experimental methods for economics and the social sciences.

They currently have a brand new, state-of-the-art Lab, with capacity for 32 subjects (with fixed partitions), and facilities that enable double-blind payments. Their lab also offers support for running experiments and programming support to facilitate developing customized software for experiments.

To the best of their knowledge, they are the first (and only) experimental lab in hispanoamérica. They are attempting to secure a first-mover advantage by building a solid team of talented young experimental economists in the near future.

Due to illness, Vernon Smith was not able to kick off the official lab inauguration in Guatemala from April 1-4, but the ESI Director, and IFREE Distinguished Scholar, Stephen Rassenti, took his place. The new experimental lab was named after Professor Smith: the Centro Vernon Smith de Economía Experimental. UFM announced the First Experimental Economics High School Workshop in Guatemala (co- directed by Diego Aycinena and ESI Visiting Post Doc, Rimvydas Baltaduonis).

Dr. Stephen Rassenti (with participation of Rimvydas Baltaduonis, Lance Cliffner and Diego Aycinena) also lead a policy discussion on electric power on Friday April 3rd. The workshop was attended by members of the Guatemalan electric Energía Eléctrica (CNEE) - and invited guests from the regulatory commissions of the other Central American countries. A panel session on “Experimental Economics and Electric Power Markets” will highlight the day and was open to the public and key members of the electric power sector. Dr. Rassenti interacted with students, faculty and officials from the Universidad Francisco Marroquín during the visit.