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Cooperation and Competition in Intergenerational Experiments in the Field and in the Laboratory

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Author Info
Gary Charness () (Department of Economics - University of California, Santa Barbara)
Marie-Claire Villeval (GATE - Groupe d'analyse et de théorie économique - CNRS : UMR5824 - Université Lumière - Lyon II - Ecole Normale Supérieure Lettres et Sciences Humaines)

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Abstract

There is economic pressure towards the postponement of the retirement age, but employers are still reluctant to employ older workers. We investigate the comparative behavior of juniors and seniors in experiments conducted both onsite with the employees of two large firms and in a conventional laboratory environment with students and retirees. We show that seniors are no more risk averse than juniors and are typically more cooperative; both juniors and working seniors respond strongly to competition. The implication is that it may be beneficial to define additional incentives near the end of the career to motivate and retain older workers.

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Paper provided by HAL in its series Post-Print with number halshs-00371984_v1.

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Date of creation: 2009
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Publication status: Published, The American Economic Review, 2009, 99, 3, pp. 956–978
Handle: RePEc:hal:journl:halshs-00371984_v1

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Related research
Keywords: Age; performance; diversity; stereotypes; cooperation; competition; inter-generational games; experiments;

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  1. Jan Potters & Martin Sefton & Lise Vesterlund, 2007. "Leading-by-example and signaling in voluntary contribution games: an experimental study," Economic Theory, Springer, vol. 33(1), pages 169-182, October. [Downloadable!] (restricted)
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  3. Emrah Arbak & Marie-Claire Villeval, 2007. "Endogenous Leadership Selection and Influence," Working Papers 0707, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure. [Downloadable!]
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  4. Peter A. Riach & Judith Rich, 2006. "An Experimental Investigation of Age Discrimination in the French Labour Market," IZA Discussion Papers 2522, Institute for the Study of Labor (IZA). [Downloadable!]
  5. Gary Charness & Matthew Rabin, 2002. "Understanding Social Preferences with Simple Tests," Department of Economics, Working Paper Series 1042, Department of Economics, Institute for Business and Economic Research, UC Berkeley. [Downloadable!]
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  6. Barton H. Hamilton & Jack A. Nickerson & Hideo Owan, 2003. "Team Incentives and Worker Heterogeneity: An Empirical Analysis of the Impact of Teams on Productivity and Participation," Journal of Political Economy, University of Chicago Press, vol. 111(3), pages 465-497, June. [Downloadable!] (restricted)
  7. Ernst Fehr & Simon Gachter, 2000. "Cooperation and Punishment in Public Goods Experiments," American Economic Review, American Economic Association, vol. 90(4), pages 980-994, September. [Downloadable!] (restricted)
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  8. Sutter, Matthias & Kocher, Martin G., 2007. "Trust and trustworthiness across different age groups," Games and Economic Behavior, Elsevier, vol. 59(2), pages 364-382, May. [Downloadable!] (restricted)
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  9. Bellemare, Charles & Kroger, Sabine, 2007. "On representative social capital," European Economic Review, Elsevier, vol. 51(1), pages 183-202, January. [Downloadable!] (restricted)
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  10. Jonathan Leonard & David Levine, 2003. "Diversity, discrimination, and performance," Institute for Research on Labor and Employment, Working Paper Series 1029, Institute of Industrial Relations, UC Berkeley. [Downloadable!]
  11. Muriel Niederle & Lise Vesterlund, 2007. "Do Women Shy Away from Competition? Do Men Compete Too Much?," The Quarterly Journal of Economics, MIT Press, vol. 122(3), pages 1067-1101, 08. [Downloadable!] (restricted)
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  12. Ernst Fehr & Urs Fischbacher & Bernhard von Rosenbladt & Jürgen Schupp & Gert G. Wagner, 2002. "A Nation-Wide Laboratory: Examining Trust and Trustworthiness by Integrating Behavioral Experiments into Representative Surveys," Discussion Papers of DIW Berlin 319, DIW Berlin, German Institute for Economic Research. [Downloadable!]
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  13. Christian Grund & Niels Westergård-Nielsen, 2005. "Age Structure of the Workforce and Firm Performance," IZA Discussion Papers 1816, Institute for the Study of Labor (IZA). [Downloadable!]
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  14. Berg Joyce & Dickhaut John & McCabe Kevin, 1995. "Trust, Reciprocity, and Social History," Games and Economic Behavior, Elsevier, vol. 10(1), pages 122-142, July. [Downloadable!] (restricted)
  15. Joanna Lahey, 2005. "Age, Women, and Hiring: An Experimental Study," NBER Working Papers 11435, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  16. Holm, Hakan & Nystedt, Paul, 2005. "Intra-generational trust--a semi-experimental study of trust among different generations," Journal of Economic Behavior & Organization, Elsevier, vol. 58(3), pages 403-419, November. [Downloadable!] (restricted)
  17. Steffen Anderson & Glenn W. Harrison & Morten Igel Lau & E. Elisabet Rutstrom, 2004. "Preference Heterogeneity in Experiments: Comparing the Field and Lab," Artefactual Field Experiments 0002, The Field Experiments Website. [Downloadable!]
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