Using Money To Motivate Both Saints And Sinners: A Field Experiment On Motivational Crowding-Out
AbstractEconomists recognize that monetary incentives can backfire through the crowding-out of moral and social motivations leading to an overall decrease of the desired behavior. We implement a field experiment where participants are asked to fill a questionnaire on pro-environmental behaviors under different incentive schemes, either with no monetary incentive (control) or with low or high monetary incentive directed either to the respondents or to an environmental cause. We investigate whether (i) there is a significant crowding-out effect, (ii) directing monetary incentive to the cause rather than to the respondents reduces the overall impact of a crowding-out effect, and (iii) offering the choice regarding the money recipient a ects participation. Except for a high monetary incentive where the respondent chooses himself the end-recipient, we show that monetary rewards directed either at the individual or at the cause actually harms intrinsic motivations, but not to the same extent. We formalize our results building on an adaptation of an original model by Bolle and Otto (2010) and introduce agents heterogeneity in terms of intrinsic motivation. This heterogeneity has key implications for the understanding of the crowding-out e ect. Several policy recommendations regarding the use of market-based instruments are drawn.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by LAMETA, Universtiy of Montpellier in its series Working Papers with number 11-15.
Length: 17 pages
Date of creation: Jun 2011
Date of revision: Jun 2011
Contact details of provider:
Postal: Avenue Raymond Dugrand, CS 79606, 34960 Montpellier Cedex 2
Web page: http://www.lameta.univ-montp1.fr/
More information through EDIRC
Other versions of this item:
- Antoine Beretti & Charles Figuières & Gilles Grolleau, 2013. "Using Money to Motivate Both ‘Saints’ and ‘Sinners’: a Field Experiment on Motivational Crowding-Out," Kyklos, Wiley Blackwell, vol. 66(1), pages 63-77, 02.
- NEP-ALL-2011-12-13 (All new papers)
- NEP-CBE-2011-12-13 (Cognitive & Behavioural Economics)
- NEP-EXP-2011-12-13 (Experimental Economics)
- NEP-HRM-2011-12-13 (Human Capital & Human Resource Management)
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.:
- David Dickinson & Marie-Claire Villeval, 2004.
"Does Monitoring Decrease Work Effort ? The Complementarity Between Agency and Crowding-Out Theorie,"
- Dickinson, David & Villeval, Marie-Claire, 2008. "Does monitoring decrease work effort?: The complementarity between agency and crowding-out theories," Games and Economic Behavior, Elsevier, vol. 63(1), pages 56-76, May.
- David Dickinson & Marie-Claire Villeval, 2004. "Does Monitoring Decrease Work Effort? The Complementarity Between Agency and Crowding-Out Theories," Post-Print halshs-00175010, HAL.
- Dickinson, David & Villeval, Marie Claire, 2004. "Does Monitoring Decrease Work Effort? The Complementarity Between Agency and Crowding-Out Theories," IZA Discussion Papers 1222, Institute for the Study of Labor (IZA).
- Marie-Claire Villeval & David Dickinson, 2004. "Does Monitoring Decrease Work Effort ? The Complementarity Between Agency and Crowding-Out Theories," Working Papers 0409, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
- David Dickinson & Marie-Claire Villeval, 2005. "Does Monitoring Decrease Work Effort? The Complementarity Between Agency and Crowding-Out Theories," Working Papers 05-12, Department of Economics, Appalachian State University.
- Uri Gneezy & Aldo Rustichini, 2000.
"A fine is a price,"
Natural Field Experiments
00258, The Field Experiments Website.
- Benabou, Roland & Tirole, Jean, 2005.
"Incentives and Prosocial Behavior,"
IZA Discussion Papers
1695, Institute for the Study of Labor (IZA).
- Roland Bénabou & Jean Tirole, 2005. "Incentives and Prosocial Behavior," NBER Working Papers 11535, National Bureau of Economic Research, Inc.
- Bénabou, Roland & Tirole, Jean, 2003. "Incentives and Prosocial Behavior," IDEI Working Papers 389, Institut d'Économie Industrielle (IDEI), Toulouse, revised Jan 2006.
- Roland Bénabou & Jean Tirole, 2004. "Incentives and Prosocial Behavior," Working Papers 137, Princeton University, Woodrow Wilson School of Public and International Affairs, Discussion Papers in Economics..
- Bénabou, Roland & Tirole, Jean, 2004. "Incentives and Prosocial Behaviour," CEPR Discussion Papers 4633, C.E.P.R. Discussion Papers.
- Mellström, Carl & Johannesson, Magnus, 2005.
"Crowding Out in Blood Donation: Was Titmuss Right?,"
Working Papers in Economics
180, University of Gothenburg, Department of Economics, revised 08 Feb 2008.
- Carl Mellström & Magnus Johannesson, 2008. "Crowding Out in Blood Donation: Was Titmuss Right?," Journal of the European Economic Association, MIT Press, vol. 6(4), pages 845-863, 06.
- Friedel Bolle & Philipp E. Otto, 2010. "A Price Is a Signal: on Intrinsic Motivation, Crowding-out, and Crowding-in," Kyklos, Wiley Blackwell, vol. 63(1), pages 9-22, 02.
- Dan Ariely & Anat Bracha & Stephan Meier, 2009.
"Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially,"
American Economic Review,
American Economic Association, vol. 99(1), pages 544-55, March.
- Dan Ariely & Anat Bracha & Stephan Meier, 2007. "Doing good or doing well? Image motivation and monetary incentives in behaving prosocially," Working Papers 07-9, Federal Reserve Bank of Boston.
- Ariely, Dan & Bracha, Anat & Meier, Stephan, 2007. "Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially," IZA Discussion Papers 2968, Institute for the Study of Labor (IZA).
- Frey, Bruno S & Jegen, Reto, 2001. " Motivation Crowding Theory," Journal of Economic Surveys, Wiley Blackwell, vol. 15(5), pages 589-611, December.
- Reeson, Andrew F. & Tisdell, John G., 2008. "Institutions, motivations and public goods: An experimental test of motivational crowding," Journal of Economic Behavior & Organization, Elsevier, vol. 68(1), pages 273-281, October.
- Bruno Frey & Matthias Benz & Alois Stutzer, 2004.
"Introducing Procedural Utility: Not Only What, but Also How Matters,"
Journal of Institutional and Theoretical Economics (JITE),
Mohr Siebeck, Tübingen, vol. 160(3), pages 377-, September.
- Bruno S. Frey & Matthias Benz & Alois Stutzer, . "Introducing Procedural Utility: Not only What, but also How Matters," IEW - Working Papers 129, Institute for Empirical Research in Economics - University of Zurich.
- Bruno S. Frey & Matthias Benz & Alois Stutzer, 2003. "Introducing Procedural Utility: Not only What, but also How Matters," CREMA Working Paper Series 2003-02, Center for Research in Economics, Management and the Arts (CREMA).
- Armin Falk, 2007. "Gift Exchange in the Field," Econometrica, Econometric Society, vol. 75(5), pages 1501-1511, 09.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Patricia Modat).
If references are entirely missing, you can add them using this form.