introduce a new type of tournament into the literature: premium incentives. While premium incentives, just like fixed … minimization, we are able to show that premium incentives outperform fixed-prize tournaments as well as piece rates. Our … theoretical result is qualitatively confirmed by a controlled laboratory experiment and has important practical implications for …

agent. Our experimental results indicate that there is "discrimination" between the two agents and that the available … information for agents determines the extent of this discrimination, even though the theoretical solution of the game implies … equal treatment of agents. Discrimination is, thus, a consequence of reciprocity. Agents that are discriminated against …