reduce the effort costs of a worker, and analyze the optimal combination of motivational effort and monetary incentives. We … conditions under which monetary incentives and motivational effort are substitutes or complements, and show that motivational …

Empirically, compensation systems generate substantial effort despite weak monetary incentives. We consider reciprocal … motivations as a source of incentives. We solve for the optimal contract in the basic principal-agent problem and show that … sources of incentives to best induce effort from the agent. Analyzing extended versions of the model allows us to examine how …

interaction with monetary incentives. We find that motivational talk significantly improves performance only if it is accompanied …

economic literature on incentives, and discusses their relationship to monetary compensation. Awards are better suited than … complement, or even substitute for, monetary incentives. While we discuss awards in the context of academia, our conclusions …

tasks. We analyze the effects of the salience of incentives in a team production setting where the principal has an interest … incentive system without changing the incentive system. The results indicate that salience of incentives itself is statistically … and economically important for performance. We find that higher salience of incentives for quantity increases quantity …

each other. The contract may contain two types of incentives for the agent to work hard: a bonus and a threat of dismissal …

altruistic. Absent worker heterogeneity, an altruistic principal signals his altruism by offering relatively weak incentives and … excessively strong incentives and a relatively high expected total compensation …