Employees face volume–value trade-offs when they perform tasks with multiple characteristics, leaving them with a choice between different strategies towards the goal of maximizing the total value of their output. Either they produce many, less valuable units of output (volume strategy); or...

This paper develops a simple economic model to examine how leadership styles in organizations depend on the prevailing wage-setting conditions for workers. In particular, we examine a leader who can - in addition to the use of monetary incentives - motivate a worker by adopting leadership styles...

Economists study how incentives motivate human behavior. However, besides grades, professors do not frequently employ incentives to motivate students in the classroom. Possibly because expenses associated with classroom incentives often remain unreimbursed or because other implementation costs...

We study whether using prosocial incentives, where effort is tied directly to charitable contributions, may lead to better performance than standard incentive schemes. In a real-effort task, individuals indeed work harder for charity than for themselves, but only when incentive stakes are low....