I'm not sure what Ethan convinced Sean the outcome would be or purpose was; but I don't think there ever actually was one in the context of a psychological experiment. Ethan had his own motives for conducting the experiment/'prank' and somehow got Sean to go along with it so he could use his money to get everything necessary to carry it out. You can tell in the beginning by Sean's attitude that he's kind of nervous about it, maybe because he still didn't understand the point.
For one, Ethan revealed he would 'do anything for a million views'. If he got anything good on camera, he could post it online for views.
Primarily, though, he wanted revenge on the neighbor. He came up with the haunting idea as a way to torment him and covered it up as an 'experiment.' The hidden cameras were so he could watch the affects of his revenge. Ethan probably never really considered or cared how it would end.
Finally, I think the purpose of bringing up the Little Albert experiment may have been Sean trying to make Ethan understand that they could really do some damage to the neighbor. While it didn't have the exact same result, they did mess the neighbor up psychologically in a way that couldn't be undone.
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