Huck, Steffen; Seltzer, Andrew J.; Wallace, Brian - Institute for the Study of Labor (IZA) - 2004
-period experiment. In equilibrium, firms will offer deferred compensation: first period productivity is positive and wages are zero … compensation increases worker effort; in about 70 percent of cases subjects supplied the optimal effort given the wage offer, and … computer. Finally, we find that firm players who are initially hesitant to defer compensation learn over time that it is …