This paper studies motivational crowding-out effects after financial incentives are lowered. In a real-effort setting …, workers receive a piece rate before financial incentives are substituted by a one-time payment. Under the fixed payment …, effort is significantly lower only when preceded by piece-rate incentives. The decrease is driven by a fraction of men who …

the theoretical benchmark with behavior observed in a one-shot experiment. …

-period experiment. In equilibrium, firms will offer deferred compensation: first period productivity is positive and wages are zero …, while third period productivity is zero and wages are positive. The experiment produces strong evidence that deferred …

an experiment with piece-rate incentives we find that the comparative static and the point predictions on effort …

We consider repeated trust game experiments to study the interplay between explicit and relational incentives. After … contract), because this game better sustains (implicit) relational incentives backed by either reputational or reciprocity …

an experiment with piece-rate incentives we find that the comparative static and the point predictions on effort …

an experiment with piece-rate incentives we find that the comparative static and the point predictions on effort …

off. Moreover, in both pay schemes information feedback reduces the quality of the low performers' work …

off. Moreover, in both pay schemes information feedback reduces the quality of the low performers' work …