In the modernisation of production processes, German and American firms stress different aspects: a greater number of German enterprises strategically favour technology and innovation and the adaptation of products to customers' specifications. The US firms prioritise more frequently the quality...

This paper examines how the effort choices of workers within the same firm interact with each other. In contrast to the existing literature, we show that workers can affect the productivity of their co-workers based on income maximization considerations, rather than relying on behavioral...