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Contrary to previous literature we hypothesize that labor's interest may well – like that of shareholders – aim at securing the long-run survival of the firm. Consequently, employee representatives on the supervisory board could well have an interest in increasing incentive-based...
Persistent link: https://www.econbiz.de/10012984836
comparison group in China, we examine how both psychological and financial incentives, together with attitudes toward risk, may … rank-based financial incentives. Our results show that performance-ranking information had a significant motivational … effect on average performance for students, but not for that of workers. Adding financial incentives based on rank provided …
Persistent link: https://www.econbiz.de/10013009501
the incentives, while the responsiveness of treatment stores close to winning a bonus increases in relative performance …
Persistent link: https://www.econbiz.de/10013074203
Antman and Duncan (2014, 2015) document how racial identity responds to state affirmative action policy. The main contribution of our work was to show that racial identity responds to state affirmative action policy. A coding error was recently brought to our attention that resulted in 0.55% of...
Persistent link: https://www.econbiz.de/10012862471
Empirical studies of the principal-agent relationship find that extrinsic incentives work in many instances, linking … drive to work to master a skill or to improve one's self image, is thought to be the key to whether incentives work or not …. If the incentives crowd-out intrinsic motivation, and the effect is large enough, the net motivational effect on effort …
Persistent link: https://www.econbiz.de/10013078830
This paper studies the interplay between economic incentives and social norms in firms. We introduce a general … also show how social norms can induce multiplicity of equilibria and how steeper economic incentives can reduce effort …
Persistent link: https://www.econbiz.de/10013136669
fixed number of points that help take the campaign further.We compare low and high levels of such incentives for direct … (where referred contacts refer others). We find that providing high level of incentives results in a statistically …
Persistent link: https://www.econbiz.de/10013034083
Using data on executive compensation for the German chemical industry, we investigate the relevance of two theoretical approaches that focus on bonuses as part of a long term wage policy of a firm. The first approach argues that explicit bonuses serve as substitutes for implicit career concerns....
Persistent link: https://www.econbiz.de/10013136492
The inclination of individuals to improve their performance when it lags behind that of others with whom they naturally compare themselves can be harnessed to optimize the individuals' effort in work and study. In a given set of individuals, we characterize each individual by his relative...
Persistent link: https://www.econbiz.de/10013250257
We present a model and an experiment that show, in a very general setting, that effort choice under a given linear pay-for-performance contract depends on how the financial risk associated with the scheme interacts with effort. We find that, under a given contract, if risk increases with effort,...
Persistent link: https://www.econbiz.de/10012962312