Effort and comparison income
de Andrew E. Clark · Publicada por primera vez en 2008
This paper considers the effect of status or relative income on work effort, combining experimental evidence from a gift-exchange game with the analysis of multi-country ISSP survey data. We find a consistent negative effect of others' incomes on individual effort in both datasets. The individual's rank in the income distribution is a stronger determinant of effort than is others' average income, suggesting that comparisons are more ordinal than cardinal. In the experiment, effort is also affected by comparisons over time: those who received higher income offers or enjoyed higher income rank in the past exert lower levels of effort for a given current income and rank.
Ediciones (1)
- Effort and comparison income (2008)
Centre for Economic Performance, London School of Economics and Political Science · inglés
