Similar Search Results

Insurance and information : firms as a commitment device

Bovenberg, Ary Lans; Teulings, Coen N. - 2001

We explore the role of firms in insuring non-verifiable output. As a device that allows workers to commit to thedelivery of their output, the firm arises endogenously as an alternative to the market if workers are sufficiently riskaverse and the firm can base its incentive payments on good...

Persistent link: https://www.econbiz.de/10011316894

On the Hidden Costs of Incentive Schemes

Sliwka, Dirk - 2003

By enriching a principal-agent model it is shown that the introduction of monetary incentives may reduce an agent's motivation. In a first step, we allow for the possibility that some agents stick to unverifiable agreements. The larger the fraction of reliable agents, the lower powered will then...

Persistent link: https://www.econbiz.de/10010263084

The Boundary of the Firm in a Model of Trade Within a Hierarchy

Levy, Nadav - 2003

this is satisfied not only under the assumption of full commitment by the general office of the firm, but also … interestingly, if it has no commitment power at all. At the time of trade, the uninformed general office prefers to delegate the … emerges only if we assume that the general office retains some limited commitment power. The general office may then mandate …

Persistent link: https://www.econbiz.de/10010263343

The rise of individual performance pay

Kvaloy, Ola; Olsen, Trond - 2007

Why does individual performance pay seem to prevail in human capital intensive industries? We present a model that may explain this. In a repeated game model of relational contracting, we analyze the conditions for implementing peer dependent incentive regimes when agents possess indispensable...

Persistent link: https://www.econbiz.de/10010264248

Transparency, inequity aversion, and the dynamics of peer pressure in teams: theory and evidence

Mohnen, Alwine; Pokorny, Kathrin; Sliwka, Dirk - 2008

We provide an explanation for peer pressure in teams based on inequity aversion. Analyzing a two-period model with two agents, we find that the effect of inequity aversion strongly depends on the information structure. When contributions are unobservable, agents act as if they were purely...

Persistent link: https://www.econbiz.de/10010268881

Productivity in contests: Organizational culture and personality effects

Andersson, Ola; Huysentruyt, Marieke; Miettinen, Topi; … - 2010

We study the interaction of organizational culture and personal prosocial orientation in team work where teams compete against each other. In a computerized lab experiment with minimal group design, we prime subjects to two alternative organizational cultures emphasizing either self-enhancement...

Persistent link: https://www.econbiz.de/10010270029

Treating Equals Unequally - Incentives in Teams, Workers' Motivation and Production Technology

Goerg, Sebastian J.; Kube, Sebastian; Zultan, Ro'i - 2007

The importance of fair and equal treatment of workers is at the heart of the debate in organizational management. In this regard, we study how reward mechanisms and production technologies affect effort provision in teams. Our experimental results demonstrate that unequal rewards can potentially...

Persistent link: https://www.econbiz.de/10010274004

Treating equals unequally: incentives in teams, workers' motivation and production technology

Goerg, Sebastian J.; Kube, Sebastian; Zultan, Ro'i - 2009

Persistent link: https://www.econbiz.de/10010274018

Incentives and cooperation in firms: Field evidence

Berger, Johannes; Herbertz, Claus; Sliwka, Dirk - 2011

We empirically investigate the impact of incentive scheme structure on the degree of cooperation in firms using a unique and representative data set. Combining employee survey data with detailed firm level information on the relative importance of individual, team, and company performance for...

Persistent link: https://www.econbiz.de/10010278772

Reassessing the Impact of High Performance Workplaces

Zwick, Thomas; Wolf, Elke - 2002

High performance workplace practices were extolled as an efficient means to increase firm productivity. The empirical evidence is disputed, however. To assess the productivity effects of a broad variety of measures, we simultaneously account for both unobserved heterogeneity and endogeneity...

Persistent link: https://www.econbiz.de/10010298114