sophisticated ways to misalign workers’ incentives can be used to extract the full surplus from a team of workers growing …

Employees often learn about their ability while working, and the resulting beliefs interact with pay incentives to … job, dynamic selection, effort, and variation in pay incentives. The empirical analysis is based on unique data from a US … which pay incentives affect employment outcomes, profits, and compensation. Under the implemented and the profit …

The paper introduces the problem of unawareness into Principal-Agent theory and discusses optimal incentive contracts …

incentives and effort provision. To examine this issue, we design three experiments where subjects participate in two-player real …-effort tournaments with two prizes. Experiment 1 shows that subjects exert high effort even if there are no monetary incentives …, suggesting that non-monetary incentives are contributing to their effort choices. Moreover, increasing monetary incentives does …