Bartling, Björn; Fehr, Ernst; Schmidt, Klaus M. - Volkswirtschaftliche Fakultät, … - 2012
workers if (i) discretion increases productivity, (ii) workers can be screened by past performance, (iii) some workers … reciprocate high wages with high effort and (iv) employers pay high wages leaving rents to their workers. In this paper we show … experimentally that the productivity increase due to discretion is not only sufficient but also necessary for the optimality of …