that increase the incentives of relatively more able workers, heterogeneity is unlikely to be as detrimental as commonly … perceived for incentives in organizations with multiple hierarchy levels. Heterogeneity of the workforce may even be optimal …This paper shows that the incentive effects of heterogeneity may be positive rather than negative in dynamic contests …

motivation may undermine intrinsic motivation. The self-perception (SP) theory developed by Bem (1972) explains this finding. The … crux of this theory is that people remember their past decisions and the extrinsic rewards they received, but they do not … recall their intrinsic motives. In this paper I show that the SP theory can be modeled as a variant of a conventional dynamic …

Bayesian Updating is the dominant theory of learning in economics. The theory is silent about how individuals react to …

identifies the behavioral response to rank incentives (i.e., the incentives stemming from an inherent preference for high rank …). We find that rank incentives not only boost performance in the related assignment, but also increase the average grade …: rank incentives make students engage more in peer interactions, which lead them to perform significantly better across the …

, an additionally provided monthly application decreases the length of spells by 4%. In line with theory, we further find …