This paper investigates the effects of services offshoring on wages using individual level data combined with industry information on offshoring. Our results show that services offshoring affects the real wage of low and medium skilled individuals negatively...

This paper experimentally investigates the impact of different pay and relative performance information policies on employee effort. We explore three information policies: No feedback about relative performance, feedback given halfway through the production period, and continuously updated...

This paper develops a framework for studying individuals ideas about what constitutes justcompensation for chief executive officers (CEOs) and reports estimates of just CEO pay andthe principles guiding ideas of justice. The sample consists of students pursuing a Master ofBusiness Administration...

This paper uses matched employer-employee panel data to show that individual jobsatisfaction is higher when other workers in the same establishment are better-paid. Thisruns contrary to a large literature which has found evidence of income comparisons insubjective well-being...

The Peter Principle captures two stylized facts about hierarchies: first, promotions often placeemployees into jobs for which they are less well suited than for that previously held. Second,demotions are extremely rare...

We document that an increasing fraction of jobs in the U.S. labor market explicitly payworkers for their performance using bonuses, commissions, or piece-rates. We find thatcompensation in performance-pay jobs is more closely tied to both observed (by theeconometrician) and unobserved productive...

When students themselves enjoy large degrees of freedom in determining the duration oftheir studies, it results in a fairly large degree of interindividual variance in terms of time-todegree.This paper investigates individual time-to-degree in a model where studentsdetermine the optimum...

This paper establishes the cyclical properties of a novel measure of worker reallocation: longdistancemigration rates within the US. This internal migration offers a bird’s eye view ofworker reallocation in the economy as long-distance migrants often change jobs oremployment status, altering...

Many organizations rely on teamwork, and yet field evidence on the impacts of team-basedincentives remains scarce. Compared to individual incentives, team incentives can affectproductivity by changing both workers’ effort and team composition. We present evidencefrom a field experiment...

A large, mature and robust economic literature on pay for performance now exists, whichprovides a useful framework for thinking about pay for performance systems. I use thelessons of the literature to discuss how to design and implement pay for performance inpractice....