We consider the cost of providing incentives through tournaments when workers are inequity averse and performance … envy depending on the costs of assessing performance. More envious employees are preferred when these costs are high, less …

A vast body of empirical studies lends support to the incentive effects of rank-order tournaments. Evidence comes from … tournaments may bias these non-experimental studies, whereas short task duration or lack of distracters may limit the external … where students selected themselves into tournaments with different prizes. Within each tournament the best performing …

the well being of others. In this paper we examine tournaments among inequity averse agents, who dislike disadvantageous … inequity (envy) and advantageous inequity (compassion). It turns out that inequity averse agents exert higher effort levels …

We compare the performance of markets and tournaments as allocative mechanisms in an economy with borrowing constraints … higher aggregate consumption because of the waste associated with the production of signals under tournaments. When borrowing … constraints are present, however, tournaments dominate markets in terms of aggregate output and, for sufficiently powerful …