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The gift of being chosen

Montinari, Natalia LU ; Nicolò, Antonio and Oexl, Regine (2016) In Experimental Economics 19(2). p.460-479
Abstract
We report evidence from an experiment where an employer selects one of two workers to perform a task for a fixed compensation. Workers differ in their ability. The employer’s payoff depends on the worker’s ability and on a non-contractible effort that the worker exerts once employed. We find that selected workers exert an effort higher than the minimum enforceable one. When the employers can send a free-text form message to the selected worker, workers with low ability exert significantly higher effort than the workers with high ability. The difference in effort overcompensates the difference in ability.
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author
organization
publishing date
type
Contribution to journal
publication status
published
subject
in
Experimental Economics
volume
19
issue
2
pages
460 - 479
publisher
Springer
external identifiers
  • scopus:84932118182
  • wos:000376426300011
ISSN
1573-6938
DOI
10.1007/s10683-015-9449-9
language
English
LU publication?
yes
id
93946e9f-88e0-4b2a-bfad-d71340ab0f63 (old id 5473649)
date added to LUP
2015-06-16 10:43:41
date last changed
2017-09-17 03:18:35
@article{93946e9f-88e0-4b2a-bfad-d71340ab0f63,
  abstract     = {We report evidence from an experiment where an employer selects one of two workers to perform a task for a fixed compensation. Workers differ in their ability. The employer’s payoff depends on the worker’s ability and on a non-contractible effort that the worker exerts once employed. We find that selected workers exert an effort higher than the minimum enforceable one. When the employers can send a free-text form message to the selected worker, workers with low ability exert significantly higher effort than the workers with high ability. The difference in effort overcompensates the difference in ability.},
  author       = {Montinari, Natalia and Nicolò, Antonio and Oexl, Regine},
  issn         = {1573-6938},
  language     = {eng},
  number       = {2},
  pages        = {460--479},
  publisher    = {Springer},
  series       = {Experimental Economics},
  title        = {The gift of being chosen},
  url          = {http://dx.doi.org/10.1007/s10683-015-9449-9},
  volume       = {19},
  year         = {2016},
}