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The Dynamics of Goal Setting: Evidence From a Field Experiment on Resource Conservation

Author

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  • Lorenz Goette
  • Hua-Jing Han
  • Zhi Hao Lim

Abstract

In a field experiment at two residential colleges, we use moral suasion and real-time feedback to examine how residents respond to different goals on shower water use over time. In phase 1 of our intervention, we find significant conservation effects for residents assigned to either the hard or moderate goal, but surprisingly detect no significant differences between both groups. When the goals are adjusted to a common, intermediate level in phase 2, we see a divergence in average treatment effects, driven by underperformance of the group with the initial hard goal. Interestingly, we find that high baseline users in the moderate goal group display larger conservation effects throughout the intervention, but this pattern is not observed in their counterparts with the initial hard goal. Our results suggest that setting too hard a goal can permanently diminish motivation, and adjusting the goal does not undo the initial damage.

Suggested Citation

  • Lorenz Goette & Hua-Jing Han & Zhi Hao Lim, 2021. "The Dynamics of Goal Setting: Evidence From a Field Experiment on Resource Conservation," CRC TR 224 Discussion Paper Series crctr224_2021_283, University of Bonn and University of Mannheim, Germany.
  • Handle: RePEc:bon:boncrc:crctr224_2021_283
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    File URL: https://www.crctr224.de/research/discussion-papers/archive/dp283
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    Cited by:

    1. Andor, Mark Andreas & Götte, Lorenz & Price, Michael Keith & Schulze Tilling, Anna & Tomberg, Lukas, 2023. "Differences in how and why social comparisons and real-time feedback impact resource use: Evidence from a field experiment," Ruhr Economic Papers 1059, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    More about this item

    Keywords

    field experiment; goal setting; resource conservation;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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