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In Search of Worker’s Real Effort Reciprocity – A Field and a Laboratory Experiment Author info | Abstract | Publisher info | Download info | Related research | Statistics Heike Hennig-Schmidt
Bettina Rockenbach
Abdolkarim Sadrieh
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We present a field experiment to assess the effect of own and peer wage variations on actual work effort of employees with hourly wages. Work effort neither reacts to an increase of the own wage, nor to a positive or negative peer comparison. This result seems at odds with numerous laboratory experiments that show a clear own wage sensitivity on effort. In an additional real-effort laboratory experiment we show that explicit cost and surplus information that enables to exactly calculate employer’s surplus from the work contract is a crucial pre-requisite for a positive wage-effort relation. This demonstrates that employee’s reciprocity requires a clear assessment of the surplus at stake.
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Paper provided by The Field Experiments Website in its series Artefactual Field Experiments with number
0056.
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Length: 17 pages
Date of creation: 2005Date of revision:
Handle: RePEc:feb:artefa:0056Contact details of provider: Web page: http://www.fieldexperiments.com
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Keywords: efficiency wage ; reciprocity ; fairness ; feild experiment ; real effort ; Other versions of this item:
Paper Heike Hennig-Schmidt & Bettina Rockenbach & Abdolkarim Sadrieh, 2008.
"In Search of Workers' Real Effort Reciprocity - A Field and a Laboratory Experiment ,"
Discussion Papers
238, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
[Downloadable!] Heike Hennig-Schmidt & Bettina Rockenbach & Abdolkarim Sadrieh, 2005.
"In Search of Workers' Real Effort Reciprocity - A Field and a Laboratory Experiment ,"
Discussion Papers
55, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
[Downloadable!] Find related papers by JEL classification: C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.:
Akerlof, George A, 1982.
"Labor Contracts as Partial Gift Exchange ,"
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[Downloadable!] (restricted)
Gary Charness, 2004.
"Attribution and Reciprocity in an Experimental Labor Market ,"
Journal of Labor Economics ,
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[Downloadable!]
Other versions: Glenn W. Harrison & John A. List, 2004.
"Field Experiments ,"
Journal of Economic Literature ,
American Economic Association, vol. 42(4), pages 1009-1055, December.
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Armin Falk & Andrea Ichino, 2004.
"Clean Evidence on Peer Effects ,"
Levine's Bibliography
666156000000000439, UCLA Department of Economics.
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Other versions: Akerlof, George A & Yellen, Janet L, 1990.
"The Fair Wage-Effort Hypothesis and Unemployment ,"
The Quarterly Journal of Economics ,
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[Downloadable!] (restricted)
Ernst Fehr & Armin Falk, 2003.
"Wage Rigidity in a Competitive Incomplete Contract Market ,"
Labor and Demography
0305001, EconWPA.
[Downloadable!]
Other versions: Mitzkewitz, Michael & Nagel, Rosemarie, 1993.
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International Journal of Game Theory ,
Springer, vol. 22(2), pages 171-98.
Fehr, Ernst, et al, 1998.
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Uri Gneezy & John A List, 2006.
"Putting Behavioral Economics to Work: Testing for Gift Exchange in Labor Markets Using Field Experiments ,"
Econometrica ,
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[Downloadable!] (restricted)
Other versions: Dickinson, David L, 1999.
"An Experimental Examination of Labor Supply and Work Intensities ,"
Journal of Labor Economics ,
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Camerer, Colin, et al, 1997.
"Labor Supply of New York City Cabdrivers: One Day at a Time ,"
The Quarterly Journal of Economics ,
MIT Press, vol. 112(2), pages 407-41, May.
Other versions: Charness, Gary & Kuhn, Peter, 2004.
"Do Co-Workers’ Wages Matter? Theory and Evidence on Wage Secrecy, Wage Compression and Effort ,"
IZA Discussion Papers
1417, Institute for the Study of Labor (IZA).
[Downloadable!]
Adriana D. Kugler & Gilles Saint-Paul, 2004.
"How Do Firing Costs Affect Worker Flows in a World with Adverse Selection? ,"
Journal of Labor Economics ,
University of Chicago Press, vol. 22(3), pages 553-584, July.
[Downloadable!]
Gary Charness & Peter Kuhn, 2005.
"Pay Inequality, Pay Secrecy, and Effort: Theory and Evidence ,"
NBER Working Papers
11786, National Bureau of Economic Research, Inc.
[Downloadable!] (restricted)
Gachter, Simon & Falk, Armin, 2002.
" Reputation and Reciprocity: Consequences for the Labour Relation ,"
Scandinavian Journal of Economics ,
Blackwell Publishing, vol. 104(1), pages 1-26.
[Downloadable!] (restricted)
Other versions:
Full
references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Sadreih, A. & Hennig-Schmidt, H. & Rockenbach, B., 2003.
"Incomplete and asymmetric surplus information in labor relations ,"
Discussion Paper
121, Tilburg University, Center for Economic Research.
[Downloadable!]
Andreas Nicklisch & Tobias Salz, 2008.
"Reciprocity and status in a virtual field experiment ,"
Working Paper Series of the Max Planck Institute for Research on Collective Goods
2008_37, Max Planck Institute for Research on Collective Goods.
[Downloadable!]
Mirco Tonin & Michael Vlassopoulos, 2009.
"Disentangling the Sources of Pro-social Behavior in the Workplace: A Field Experiment ,"
CESifo Working Paper Series
CESifo Working Paper No. , CESifo Group Munich.
[Downloadable!]
Other versions: Sebastian Kube & Michel André Maréchal & Clemens Puppe, 2008.
"The Currency of Reciprocity - Gift-Exchange in the Workplace ,"
IEW - Working Papers
iewwp377, Institute for Empirical Research in Economics - IEW.
[Downloadable!]
Stefania Bortolotti & Giovanna Devetag & Andreas Ortmann, 2009.
"Exploring the effects of real effort in a weak-link experiment ,"
CEEL Working Papers
0901, Computable and Experimental Economics Laboratory, Department of Economics, University of Trento, Italia.
[Downloadable!]
Robert Dur & Arjan Non & Hein Roelfsema, 2008.
"Reciprocity and Incentive Pay in the Workplace ,"
Tinbergen Institute Discussion Papers
08-080/1, Tinbergen Institute.
[Downloadable!]
Other versions: Sebastian Kube & Michel André Maréchal & Clemens Puppe, 2006.
"Putting Reciprocity to Work - Positive versus Negative Responses in the Field ,"
University of St. Gallen Department of Economics working paper series 2006
2006-27, Department of Economics, University of St. Gallen.
[Downloadable!]
Charles Bellemare & Bruce Shearer, 2007.
"Gift Exchange within a Firm: Evidence from a Field Experiment ,"
IZA Discussion Papers
2696, Institute for the Study of Labor (IZA).
[Downloadable!]
Other versions: Robert Dur, 2008.
"Gift Exchange in the Workplace: Money or Attention? ,"
CESifo Working Paper Series
CESifo Working Paper No. , CESifo Group Munich.
[Downloadable!]
Other versions:
Dur, Robert, 2008.
"Gift Exchange in the Workplace: Money or Attention? ,"
IZA Discussion Papers
3839, Institute for the Study of Labor (IZA).
[Downloadable!] Robert Dur, 2009.
"Gift Exchange in The Workplace: Money or Attention? ,"
Journal of the European Economic Association ,
MIT Press, vol. 7(2-3), pages 550-560, 04-05.
[Downloadable!] (restricted) Heike Hennig-Schmidt & Bettina Rockenbach & Abdolkarim Sadrieh, 2003.
"Incomplete and Asymmetric Surplus Information in Labor Relations ,"
Bonn Econ Discussion Papers
bgse24_2003, University of Bonn, Germany.
[Downloadable!]
Michel André Maréchal & Christian Thöni, 2007.
"Do Managers Reciprocate? Field Experimental Evidence From a Competitive Market ,"
University of St. Gallen Department of Economics working paper series 2007
2007-09, Department of Economics, University of St. Gallen.
[Downloadable!]
Robert Dur, 2008.
"Gift Exchange in the Workplace ,"
Tinbergen Institute Discussion Papers
08-082/1, Tinbergen Institute.
[Downloadable!]
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