theory of agency, notably income insurance and multi-task considerations, also shape pay policies. The conclusion we draw …

rigid than pay that is not designed to effect incentives. Some have gone so far as to argue that this may explain … differences in unemployment rates across countries. it is shown that there is no direct link between incentives and wage rigidity …. Many compensation schemes that provide incentives have the reverse effect: That is, they tend to make wages more rigid than …

relationships and on how firms provide incentives to employees. This literature has been very successful in generating models and … conform to theory. We survey some literature in this area and suggest areas for further research …

We study the effect of physician incentives in an HMO network. Physician incentives are controversial because they may … induce doctors to make treatment decisions that differ from those they would chose in the absence of incentives. We set out a … suggestive evidence that financial incentives linked to commonly used quality measures may stimulate an improvement in measured …

In this paper I summarize four new strands in agency theory that help me think about incentives in real organizations … assessments; incentives for skill development rather than simply for effort; and incentive contracts between versus within … organizations. I conclude by suggesting two avenues for further progress in agency theory: better integration with organizational …

compensation plans on personal productivity. We study an international law firm that moves from high-powered individual incentives … towards incentives for "leadership" activities that contribute to the firm's long run profitability. The effect of this change … on the task allocation of the firm's team leaders is large and robust; team leaders increase their non-billable hours and …

provision of incentives to corporate scientists, in an environment where (1) scientists engage in multiple activities when …-monetary incentives; and (4) firms compete on the product market. We show that both the degree of knowledge spillovers and of market … competition affect the incentives given to scientists, and these effects interact. First, high knowledge spillovers lead firms to …

healthcare. We argue that markets are most advantageous in areas where high-powered incentives are desirable, but in areas where … high-powered incentives stimulate unproductive signalling effort, firms, or even government, may have a comparative … advantage. Firms may be able to weaken incentives and improve efficiency by obscuring information about individual workers …

incentives is economically important, corresponding to an annual increase of over 3000 additional tons of steel with a value of …