Self-selection and the power of incentive schemes: an experimental study

C-Tier
Journal: Applied Economics
Year: 2012
Volume: 44
Issue: 32
Pages: 4211-4219

Score contribution per author:

0.335 = (α=2.01 / 3 authors) × 0.5x C-tier

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

Abstract

We examine how self-selection of workers depends on the power of incentive schemes and how it affects team performance if the power of the incentive schemes is increased. In a laboratory experiment, we let subjects choose between (low-powered) team incentives and (high-powered) individual incentives. We observe that subjects exhibiting high trust or reciprocity in the trust game are more likely to choose team incentives. When exposed to individual incentives, subjects who chose team incentives perform worse if both the unobservable interdependency between their efforts and their incentive to cooperate under team incentives are high.

Technical Details

RePEc Handle
repec:taf:applec:44:y:2012:i:32:p:4211-4219
Journal Field
General
Author Count
3
Added to Database
2026-01-25