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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 …. -- social norms ; incentives ; contracts …
Persistent link: https://www.econbiz.de/10009154576
In a tedious real effort task, subjects know that their piece rate is either low or ten times higher. When subjects are informed about their piece rate realization, they adapt their performance. One third of subjects nevertheless forego this instrumental information when given the choice - and...
Persistent link: https://www.econbiz.de/10011340265
In a tedious real effort task, subjects know that their piece rate is either low or ten times higher. When subjects are informed about their piece rate realization, they adapt their performance. One third of subjects nevertheless forego this instrumental information when given the choice - and...
Persistent link: https://www.econbiz.de/10011342145
In a tedious real effort task, subjects know that their piece rate is either low or ten times higher. When subjects are informed about their piece rate realization, they adapt their performance. One third of subjects nevertheless forego this instrumental information when given the choice - and...
Persistent link: https://www.econbiz.de/10011346303
Persistent link: https://www.econbiz.de/10009685107
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
Recent behavioral models argue in favor of avoidance of instrumental information. We explore the role of information avoidance in a real-effort setting. Our experiment offers three main results. First, we confirm that preferences for avoidance of instrumental information exist, studying...
Persistent link: https://www.econbiz.de/10011751477
Persistent link: https://www.econbiz.de/10002115504
Persistent link: https://www.econbiz.de/10009248230
contracts which determine their managers' salaries. One contract simply gives managers incentives to maximize firm profits …
Persistent link: https://www.econbiz.de/10009781566