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choice, groups typically vote for the reward option, even though punishment is actually more effective in sustaining high …
Persistent link: https://www.econbiz.de/10010293404
punishment behavior. Our study uses experiments conducted with 525 officers in the Swiss Army, and exploits random assignment to … prisoner's dilemma game with in-group as opposed to out-group members. They also use a costly punishment option to selectively … stronger in-group cooperation, but also a qualitative change in punishment: punishment becomes anti-social, harming cooperative …
Persistent link: https://www.econbiz.de/10010294796
punishment tournament, which, respectively, reward the best performer and punish the worst performer. We show that while the two …. Specifically, punishment tournaments lead to higher profits of the firm. The reason is that low-ability agents are discouraged less … in punishment tournaments than in reward tournaments, and hence can be compensated less to meet their participation …
Persistent link: https://www.econbiz.de/10010312220
Managers often use tournaments which motivate workers to compete for the top, compete to avoid the bottom, or both. In this paper we compare the effectiveness and efficiency of the corresponding incentive schemes. To do so, we utilize optimal contracts in a principal-agent setting, using a...
Persistent link: https://www.econbiz.de/10010312236