Schmidt, Klaus M.; Fey, Lisa Magdalena; Thoma, Carmen - 2017 - This version: April 27, 2017
increases, monetary incentives to engage in cost reduction tend to decrease. We test the hypothesis that there are non … exogenously keeping the monetary incentives to spend effort constant. The first experiment shows that subjects spend significantly … comparisons as one potential mechanism for this effect. It shows that competition turns the effort decisions of competing managers …