Both theory and recent empirical evidence on nudging suggest that observability of behavior acts as an instrument for … between observer and observee. Observability involving economic incentives crowds-out anti-social behavior in favor of more …

We analyze both theoretically and empirically how monetary incentives and information about others’ behavior affect … dishonesty. We run a laboratory experiment with 560 participants, each of whom observes a number from one to six with there being …

We analyze both theoretically and empirically how monetary incentives and information about others’ behavior affect … dishonesty. We run a laboratory experiment with 560 participants, each of whom observes a number from one to six with there being …

increase for all households with dispensers. Monitoring and incentives raise handwashing contemporaneously, and effects persist …

We conduct a contest experiment where participants can invest in increasing both the mean and the spread of an … uncertain performance variable. Subjects are treated with different prize schemes and in accordance with theory we observe …

tradeoff between risk and incentives. Subjects in our experiments choose their compensation for performing a real-effort task …) the reference point in a risk-free environment behave risk averse (seeking) in risky environments. In a second experiment …We conduct laboratory experiments to investigate basic predictions of principal-agent theory about the choice of piece …

tradeoff between risk and incentives. Subjects in our experiments choose their compensation for performing a real-effort task …) the reference point in a risk-free environment behave risk averse (seeking) in risky environments. In a second experiment …We conduct laboratory experiments to investigate basic predictions of principal-agent theory about the choice of piece …

We investigated the effect of large changes in financial incentives on the process of decision-making by measuring … increased risk aversion and physiological arousal, and by shifts in attention toward safer alternatives. These effects were … manifested both within and between individuals. We find no evidence that heightened risk aversion is a mistake. To capture the …

limitless. The potential link between compensation and risk behavior is analyzed in this paper. A behavioral experiment with …Compensation schemes have been blamed for encouraging excess risk-taking on the part of managers within the financial … students shows that unilaterally constructed incentive schemes encourage excess risk-taking. Thus common bonus …