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Self-rewards and personal motivation

Author

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  • Koch, Alexander K.
  • Nafziger, Julia
  • Suvorov, Anton
  • van de Ven, Jeroen

Abstract

Self-administered rewards are ubiquitous. They serve as incentives for personal accomplishments and are widely recommended to increase personal motivation. We show that in a model with time-inconsistent and reference-dependent preferences, self-rewards can be a credible and effective tool to overcome self-control problems. We also discuss the different types of self-rewards the individual can use, such as vice goods and virtue goods, and analyze which types of goods the individual prefers.

Suggested Citation

  • Koch, Alexander K. & Nafziger, Julia & Suvorov, Anton & van de Ven, Jeroen, 2014. "Self-rewards and personal motivation," European Economic Review, Elsevier, vol. 68(C), pages 151-167.
  • Handle: RePEc:eee:eecrev:v:68:y:2014:i:c:p:151-167
    DOI: 10.1016/j.euroecorev.2014.03.002
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    Citations

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    Cited by:

    1. de Quidt, Jonathan, 2014. "Your loss is my gain: a recruitment experiment with framed incentives," LSE Research Online Documents on Economics 58208, London School of Economics and Political Science, LSE Library.
    2. Eva M. Berger & Günther König & Henning Mueller & Felix Schmidt & Daniel Schunk, 2016. "Self-Regulation Training, Labor Market Reintegration of Unemployed Individuals, and Locus of Control - Evidence from a Natural Field Experiment," CESifo Working Paper Series 6246, CESifo Group Munich.
    3. Hanna Fromell & Daniele Nosenzo & Trudy Owens, 2014. "Tradeoffs between Self-interest and Other-Regarding Preferences Cause Willpower Depletion," Discussion Papers 2014-14, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    4. Jonathan de Quidt, 2017. "Your Loss is my Gain: A Recruitment Experiment with Framed Incentives," CESifo Working Paper Series 6326, CESifo Group Munich.
    5. Schmidt, Felix & Berger, Eva & Schunk, Daniel & Müller, Henning & König, Günther, 2017. "Self-Regulation Training and Job Search Effort: A Natural Field Experiment within an Active Labor Market Program," Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking 168177, Verein für Socialpolitik / German Economic Association.
    6. Koch, Alexander & Nafziger, Julia & Nielsen, Helena Skyt, 2015. "Behavioral economics of education," Journal of Economic Behavior & Organization, Elsevier, vol. 115(C), pages 3-17.
    7. Max van Lent & Michiel Souverijn, 2017. "Goal Setting and Raising the Bar: A Field Experiment," Tinbergen Institute Discussion Papers 17-001/VII, Tinbergen Institute.
    8. de Quidt, Jonathan, 2014. "Your loss is my gain: a recruitment experiment with framed incentives," LSE Research Online Documents on Economics 58208, London School of Economics and Political Science, LSE Library.
    9. Alice Hsiaw, 2015. "Goal Bracketing and Self-Control," Working Papers 90, Brandeis University, Department of Economics and International Businesss School.

    More about this item

    Keywords

    Quasi-hyperbolic discounting; Reference-dependent preferences; Self-control; Self-rewards; Goals;

    JEL classification:

    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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