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Career concerns and team talent

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  • Meagher, Kieron
  • Prasad, Suraj

Abstract

We develop a model of career concerns in teams. We draw a distinction between individual talent which is associated with a member in the team and team talent which is common to all members of the team. With team talent, members have less of an incentive to free ride and effort is more efficient. With team talent, we also show that group incentive pay can yield higher profits than monitoring even when monitoring is costless.

Suggested Citation

  • Meagher, Kieron & Prasad, Suraj, 2016. "Career concerns and team talent," Journal of Economic Behavior & Organization, Elsevier, vol. 129(C), pages 1-17.
    • Handle: RePEc:eee:jeborg:v:129:y:2016:i:c:p:1-17
    DOI: 10.1016/j.jebo.2016.05.019
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