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Feedback and incentives : experimental evidence

Eriksson, Tor (contributor); Poulsen, Anders (contributor); … - 2008

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 … off. Moreover, in both pay schemes information feedback reduces the quality of the low performers' work. -- Performance …

Persistent link: https://www.econbiz.de/10003688788

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 high variance in performance (Bull, Schotter, and Weigelt 1987). However, since the efficiency of performance-related pay is attributable both to its incentive effect and to...

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

Who pays for performance?

Barth, Erling; Bratsberg, Bernt; Haegeland, Torbjørn; … - 2006

Using Norwegian establishment surveys from 1997 and 2003, we show that performance-related pay is more prevalent in firms where workers of the main occupation have a high degree of autonomy in how to organize their work. This observation supports an interpretation of incentive pay as motivated...

Persistent link: https://www.econbiz.de/10003328059