Subjective Performance Evaluations and Reciprocity in Principal–Agent Relations

B-Tier
Journal: Scandanavian Journal of Economics
Year: 2014
Volume: 116
Issue: 2
Pages: 570-590

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We conduct a laboratory experiment with agents working on, and principals benefiting from, a real effort task in which the agents' performance can only be evaluated subjectively. Principals give subjective performance feedback to agents, and agents have an opportunity to sanction principals. In contrast to existing models of reciprocity, we find that agents tend to sanction whenever the feedback of principals is below their subjective self-evaluations even if agents' pay-offs are independent of it. In turn, principals provide more positive feedback (relative to their actual performance assessment of the agent) if this does not affect their pay-off.

Technical Details

RePEc Handle
repec:bla:scandj:v:116:y:2014:i:2:p:570-590
Journal Field
General
Author Count
2
Added to Database
2026-01-29