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The Importance of Intrinsic and Extrinsic Motivation for Measuring IQ

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  • Borghans, Lex

    () (Maastricht University)

  • Meijers, Huub

    () (Maastricht University)

  • ter Weel, Bas

    () (CPB Netherlands Bureau for Economic Policy Analysis)

Abstract

This research provides an economic model of the way people behave during an IQ test. We distinguish a technology that describes how time investment improves performance from preferences that determine how much time people invest in each question. We disentangle these two elements empirically using data from a laboratory experiment. The main findings is that both intrinsic (questions that people like to work on) and extrinsic motivation (incentive payments) increase time investments and as a result performance. The presence of incentive payments seems to be more important than the size of the reward. Intrinsic and extrinsic motivation turn out to be complements.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 7182.

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Length: 35 pages
Date of creation: Jan 2013
Date of revision:
Publication status: published in: Economics of Education Review, 2013, 34 (1), 17-28
Handle: RePEc:iza:izadps:dp7182

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Keywords: cognitive test scores; incentives;

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References

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  1. Borghans Lex & Lee Duckworth Angela & Heckman James J. & Weel Bas ter, 2008. "The Economics and Psychology of Personality Traits," Research Memoranda 001, Maastricht : ROA, Research Centre for Education and the Labour Market.
  2. Lex Borghans & Huub Meijers & Bas Ter Weel, 2008. "The Role Of Noncognitive Skills In Explaining Cognitive Test Scores," Economic Inquiry, Western Economic Association International, vol. 46(1), pages 2-12, 01.
  3. Susanne Schennach & James Heckman & Flavio Cunha, 2007. "Estimating the Technology of Cognitive and Noncognitive Skill Formation," 2007 Meeting Papers 973, Society for Economic Dynamics.
  4. Borghans, Lex & Golsteyn, Bart H.H. & Heckman, James J. & Humphries, John Eric, 2011. "Identification Problems in Personality Psychology," IZA Discussion Papers 5605, Institute for the Study of Labor (IZA).
  5. Roland G. Fryer, 2011. "Financial Incentives and Student Achievement: Evidence from Randomized Trials," The Quarterly Journal of Economics, Oxford University Press, vol. 126(4), pages 1755-1798.
  6. James J. Heckman & Jora Stixrud & Sergio Urzua, 2006. "The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior," NBER Working Papers 12006, National Bureau of Economic Research, Inc.
  7. Liu, Liqun & Neilson, William S., 2011. "High scores but low skills," Economics of Education Review, Elsevier, vol. 30(3), pages 507-516, June.
  8. Winters, Marcus A. & Trivitt, Julie R. & Greene, Jay P., 2010. "The impact of high-stakes testing on student proficiency in low-stakes subjects: Evidence from Florida's elementary science exam," Economics of Education Review, Elsevier, vol. 29(1), pages 138-146, February.
  9. Uri Gneezy & Aldo Rustichini, 2000. "Pay Enough Or Don'T Pay At All," The Quarterly Journal of Economics, MIT Press, vol. 115(3), pages 791-810, August.
  10. Petra E. Todd & Kenneth I. Wolpin, 2003. "On The Specification and Estimation of The Production Function for Cognitive Achievement," Economic Journal, Royal Economic Society, vol. 113(485), pages F3-F33, February.
  11. Shane Frederick, 2005. "Cognitive Reflection and Decision Making," Journal of Economic Perspectives, American Economic Association, vol. 19(4), pages 25-42, Fall.
  12. Kremer, Michael R. & Miguel, Edward & Thornton, Rebecca, 2009. "Incentives to Learn," Scholarly Articles 3716457, Harvard University Department of Economics.
  13. Roland G. Fryer, Jr & Richard T. Holden, 2012. "Multitasking, Learning, and Incentives: A Cautionary Tale," NBER Working Papers 17752, National Bureau of Economic Research, Inc.
  14. Eric P. Bettinger, 2012. "Paying to Learn: The Effect of Financial Incentives on Elementary School Test Scores," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 686-698, August.
  15. Angrist, Joshua & Lang, Daniel W. & Oreopoulos, Philip, 2007. "Incentives and Services for College Achievement: Evidence from a Randomized Trial," IZA Discussion Papers 3134, Institute for the Study of Labor (IZA).
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