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Group Behaviour and Development

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Author Info

  • Heyer, J.
  • Stewart, F.
  • Thorp, R.

Abstract

The study identifies three modes of group behaviour: one which secures members' adherence to the group objectives via power and control, in a hierarchical way; one which operates by the use of financial incentives; and one which operates through co-operation among members to achieve the often shared objectives. It is suggested that external norms, and other conditions in the society in which the group is located, are an important influence on mode of behaviour. A review of some existing empirical literature of behaviour in firms, in local government and health services, and in co-operatives and community organizations found a variety of modes of operation and also outcomes within each category. However, groups rarely fall completely into one category or another but frequently combine elements. Co-operative modes of behaviour are often as efficient as the alternatives, because they save on transactions/supervisory costs; but although groups operating in a co-operative mode are often associated with more equity among their members, and sometimes also have a more equitable impact on the economy, this is not always the case. External conditions-not only prevailing norms, but also the distribution of assets and income-seem to be an important influence on group behaviour, and, in particular, on the equity of within group relationships. These suppositions are being examined further in the research project that is underway

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Bibliographic Info

Paper provided by World Institute for Development Economics Research in its series Research Paper with number 161.

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Length: 36 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:fth:wodeec:161

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Postal: United Nations University; World Institute for Development Economics Research, Katajanokanlaituri 6B, 00160 Helsinki
Phone: +358-9-6159911
Fax: +358-9-61599333
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Web page: http://www.wider.unu.edu/
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Related research

Keywords: BEHAVIOR ; INCENTIVES ; TESTS ; GROUPS;

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Cited by:
  1. Larry Burmeister & Gustav Ranis & Michael Wang, 2001. "Group Behavior and Development: A Comparison of Farmers' Organisations in South Korea and Taiwan," Working Papers 828, Economic Growth Center, Yale University.

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