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The Thrill of Victory: Measuring the Incentive to Win

Listed author(s):
  • Bentley Coffey
  • M. T. Maloney

There is ample evidence that incentive-pay structures, such as tournaments, result in increased performance. Is this due to selection or increased individual effort, and is any increased individual effort caused by pecuniary incentives or merely thirst for the thrill of victory (TOV)? Prior literature has not separated the different effects. We look at performance in horse and dog racing and find that only horses, controlled by jockeys during the race, exhibit performance corresponding to pecuniary incentives, while both respond to selection and TOV. The results show that pay structures do matter. (c) 2010 by The University of Chicago.

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File URL: http://dx.doi.org/10.1086/648318
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Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 28 (2010)
Issue (Month): 1 (January)
Pages: 87-112

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Handle: RePEc:ucp:jlabec:v:28:y:2010:i:1:p:87-112
Contact details of provider: Web page: http://www.journals.uchicago.edu/JOLE/

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