Piecework versus merit pay: a mean field games approach to academic behavior

This paper applies the mean field game approach pioneered by Lasry and Lions [2007] to the analysis of researchers? academic productivity. It provides a theoretical motivation for the stability of the universally observed Lotka?s law. It shows that a remuneration scheme taking into account researchers? rank with respect to the academic resume can induce a larger number of researchers to overtake a minimal production standard. It thus appears as superior to piecework remuneration.