Diligence Aversion and Productivity : Evidence on the Burden of Quality Controls

Putting effort into quality management evidently generates improvements in quality. However, such efforts come with a psychological burden. Working under quality pressure, i.e., extending diligence is burdensome. We hypothesize that this burden is valued differently in different cultures. This study measures the subjective burden by way of running an online survey in eight countries. The measures of diligence aversion elicited here indeed document marked international differences. Further, estimates empirically support the theoretical propositions that countries with a higher level of diligence aversion produce lower quality goods, and generate a lower level of income and happiness. Particularly the fraction of the population with a high level of diligence aversion appears to have a decisively negative effect on the productivity of an economy. Thus, educational efforts at reducing diligence aversion among that group might bring very significant macroeconomic benefits