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In Search of Workers' Real Effort Reciprocity - A Field and a Laboratory Experiment Author info | Abstract | Publisher info | Download info | Related research | Statistics Heike Hennig-Schmidt (Laboratory of Experimental Economics, University of Bonn, Adenauerallee 24-42, 53113 Bonn, Germany, Tel. +49 228 7391-95 (Fax -93), http://www.bonneconlab.uni-bonn.de, hschmidt@uni-bonn.de)
Bettina Rockenbach (Lehrstuhl für Mikrooekonomie, Universitaet Erfurt, Postfach 900 221, 99105 Erfurt, Germany, Tel. +49 361 73745-21 (Fax: -29), http://www.uni-erfurt.de/mikrooekonomie, bettina.rockenbach@uni-erfurt.de)
Abdolkarim Sadrieh (Faculty of Economics and Management, University of Magdeburg, Postbox 4120, 39016 Magdeburg, Germany, Tel. +49 391 67-18492 (Fax. 11355), http://www.ww.unimagdeburg.de/ebusiness/, sadrieh@ww.uni-magdeburg.de)
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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 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 in its series Discussion Papers with number
55.
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Date of creation: Jul 2005Date of revision:
Handle: RePEc:trf:wpaper:55Contact details of provider: Postal: D-68131 Mannheim Fax: +49 621 181-2785 Email: Web page: http://www.sfbtr15.de/ More information through EDIRC
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Keywords: efficiency wage ; reciprocity ; fairness ; field experiment ; real effort ; Other versions of this item:
Paper Heike Hennig-Schmidt & Bettina Rockenbach & Abdolkarim Sadrieh, 2005.
"In Search of Worker’s Real Effort Reciprocity – A Field and a Laboratory Experiment ,"
Artefactual Field Experiments
0056, The Field Experiments Website.
[Downloadable!] 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!] 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
This paper has been announced in the following NEP Reports :
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Gachter, Simon & Falk, Armin, 2002.
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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.)
Charles Bellemare & Bruce Shearer, 2007.
"Gift Exchange within a Firm: Evidence from a Field Experiment ,"
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0708, CIRPEE.
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Other versions: Sadreih, A. & Hennig-Schmidt, H. & Rockenbach, B., 2003.
"Incomplete and asymmetric surplus information in labor relations ,"
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121, Tilburg University, Center for Economic Research.
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Andreas Nicklisch & Tobias Salz, 2008.
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Dur, Robert, 2008.
"Gift Exchange in the Workplace: Money or Attention? ,"
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"Disentangling the Sources of Pro-social Behavior in the Workplace: A Field Experiment ,"
CESifo Working Paper Series
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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.
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Robert Dur, 2008.
"Gift Exchange in the Workplace ,"
Tinbergen Institute Discussion Papers
08-082/1, Tinbergen Institute.
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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.
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Robert Dur & Arjan Non & Hein Roelfsema, 2008.
"Reciprocity and Incentive Pay in the Workplace ,"
Tinbergen Institute Discussion Papers
08-080/1, Tinbergen Institute.
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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!]
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!]
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