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Incentives for creativity

Author

Listed:
  • Sanjiv Erat

    (University of California)

  • Uri Gneezy

    (University of California
    University of Amsterdam)

Abstract

We investigate whether piece-rate and competitive incentives affect creativity, and if so, how the incentive effect depends on the form of the incentives. We find that while both piece-rate and competitive incentives lead to greater effort relative to a base-line with no incentives, neither type of incentives improve creativity relative to the base-line. More interestingly, we find that competitive incentives are in fact counter-productive in that they reduce creativity relative to base-line condition. In line with previous literature, we find that competitive conditions affect men and women differently: whereas women perform worse under competition than the base-line condition, men do not.

Suggested Citation

  • Sanjiv Erat & Uri Gneezy, 2016. "Incentives for creativity," Experimental Economics, Springer;Economic Science Association, vol. 19(2), pages 269-280, June.
    • Handle: RePEc:kap:expeco:v:19:y:2016:i:2:d:10.1007_s10683-015-9440-5
    DOI: 10.1007/s10683-015-9440-5
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    References listed on IDEAS

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