Evidence on performance pay and risk aversion

C-Tier
Journal: Economics Letters
Year: 2010
Volume: 106
Issue: 1
Pages: 8-11

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

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

Abstract

Making use of a unique representative data set, we find clear evidence that risk aversion has a highly significant and substantial negative impact on the probability that an employee's pay is performance contingent, which confirms the well known risk-incentive trade-off.

Technical Details

RePEc Handle
repec:eee:ecolet:v:106:y:2010:i:1:p:8-11
Journal Field
General
Author Count
2
Added to Database
2026-01-25