, which offer important new insights into the interaction of contract choices, fairness and incentives. …We show experimentally that fairness concerns may have a decisive impact on the actual and optimal choice of contracts … provide powerful incentives and are superior to explicit incentive contracts when there are some fair-minded players. But …

actually pay the announced bonus. This offers a new explanation for why explicit and implicit incentives are substitutes rather …

We show that concerns for fairness may have dramatic consequences for the optimal provision of incentives in a moral … concerned about fairness. Conversely, contracts that are doomed to fail when there are only selfish actors provide powerful … incentives and become superior when there are also fair-minded players. These predictions are strongly supported by the results …

We show that concerns for fairness may have dramatic consequences for the optimal provision of incentives in a moral … concerned about fairness. Conversely, contracts that are doomed to fail when there are only selfish actors provide powerful … incentives and become superior when there are also fair-minded players. These predictions are strongly supported by the results …

-interest theory but is consistent with theories of fairness. …

We show that concerns for fairness may have dramatic consequences for the optimal provision of incentives in a moral … concerned about fairness. Conversely, contracts that are doomed to fail when there are only selfish actors provide powerful … incentives and become superior when there are also fair-minded players. These predictions are strongly supported by the results …

incentives through contracts. We provide experimental evidence that principals have a strong preference for less complete … analysis shows that fairness concerns can explain this preference for less completeness. Fair principals keep their promises … which provides strong pecuniary incentives through an incomplete contract. Selfish principals free-ride and exploit the …

norm violators. We further illustrate the powerful impact of fairness concerns on cooperation, competition, incentives, and … refutes the self-interest hypothesis, suggesting that concerns for altruism, fairness, and reciprocity strongly motivate many … the nature of preferences and the relative performance of competing fairness theories. The purpose of this chapter is to …

We show that concerns for fairness may have dramatic consequences for the optimal provision of incentives in a moral … concerned about fairness. Conversely, contracts that are doomed to fail when there are only selfish actors provide …