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Progressive taxation in a tournament economy

Carpenter, Jeffrey P.; Matthews, Peter Hans; Tabb, Benjamin - 2014

of workers faced with progressive taxation under tournaments and piece rates. Because of the difficulty identifying any …

Persistent link: https://www.econbiz.de/10010394004

Task difficulty, performance measure characteristics, and the trade-off between insurance and well-allocated effort

Schnedler, Wendelin (contributor) - 2006

When designing incentives for a manager, the trade-off between insurance and a "good" allocation of effort across various tasks is often identified with a trade-off between the responsiveness (sensitivity, precision, signal-noise ratio) of the performance measure and its similarity (congruity,...

Persistent link: https://www.econbiz.de/10003323166

Self-selection and the efficiency of tournaments

Eriksson, Tor (contributor); Teyssier, Sabrina (contributor) - 2006

When exogenously imposed, rank-order tournaments have incentive properties but their overall efficiency is reduced by a … to investigate the ex ante sorting effect of tournaments. This paper reports results from an experiment analyzing whether … allowing subjects to self-select into different payment schemes helps in reducing the variability of performance in tournaments …

Persistent link: https://www.econbiz.de/10003283430

Performance pay and within-firm wage inequality

Barth, Erling; Bratsberg, Bernt; Haegeland, Torbjørn; … - 2009

This paper examines the impact of performance-related pay on wage differentials within firms. Our theoretical framework predicts that, compared to a fixed pay system, pay schemes based on individual output increase within-firm wage inequality, while group-based bonuses have minor effects on wage...

Persistent link: https://www.econbiz.de/10003831899

The effect of adversity on process innovations and managerial incentives

Dostie, Benoît; Jayaraman, Rajshri - 2009

This paper asks whether adversity spurs the introduction of process innovations and increases the use of managerial incentives by firms. Using a large panel data set of workplaces in Canada, our identification strategy relies on exogenous variation in adversity arising from increased border...

Persistent link: https://www.econbiz.de/10003863657

Pay for percentile

Barlevy, Gadi; Neal, Derek A. - 2009

; tournaments …

Persistent link: https://www.econbiz.de/10003894835

Exploitation aversion : when financial incentives fail to motivate agents

Carpenter, Jeffrey P.; Dolifka, David - 2013

Empirical studies of the principal-agent relationship find that extrinsic incentives work in many instances, linking rewards to performance increases effort, but that they can also backfire, reducing effort. Intrinsic motivation, the internal drive to work to master a skill or to improve one's...

Persistent link: https://www.econbiz.de/10009771729

Bonus culture : competitive pay, screening, and multitasking

Bénabou, Roland; Tirole, Jean - 2013

This paper analyzes the impact of labor market competition and skill-biased technical change on the structure of compensation. The model combines multitasking and screening, embedded into a Hotelling-like framework. Competition for the most talented workers leads to an escalating reliance on...

Persistent link: https://www.econbiz.de/10009729417

The performance pay premium : how big is it and does it affect wage dispersion?

Bryson, Alex; Forth, John; Stokes, Lucy - 2014

Using nationally representative linked employer-employee data we find one-quarter of employees in Britain are paid for performance. The log hourly wage gap between performance pay and fixed pay employees is .36 points. This falls to .15 log points after controlling for observable demographic,...

Persistent link: https://www.econbiz.de/10010387706

Managerial incentives and favoritism in promotion decisions : theory and field evidence

Berger, Johannes; Herbertz, Claus; Sliwka, Dirk - 2011

; favoritism ; nepotism ; tournaments …

Persistent link: https://www.econbiz.de/10009232290

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