Do Professionals Choke Under Pressure?
High rewards or the threat of severe punishment do not only provide incentives to exert high levels of effort but also create pressure. Such pressure can cause paradoxical performance effects, namely performance decrements despite strong incentives and high motivation. By analyzing the performance of professional football players on a well-defined task, namely to score on a penalty kick, the paper provides empirical evidence for the existence of such detrimental incentive effects. Two pressure variables are considered in particular: (1) the importance of success and (2) the presence of spectators. There are plenty of situations in which pressure arises in the workplace. Knowing how individuals perform under pressure conditions is crucial for labor economists because it has implications for the design of the workplace and the design of incentive schemes.
|Date of creation:||Dec 2005|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
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.:
- Edward P. Lazear, 1996.
"Performance Pay and Productivity,"
NBER Working Papers
5672, National Bureau of Economic Research, Inc.
- Kandel, Eugene & Lazear, Edward P, 1992.
"Peer Pressure and Partnerships,"
Journal of Political Economy,
University of Chicago Press, vol. 100(4), pages 801-17, August.
- Ignacio Palacios-Huerta, 2001.
"Professionals Play Minimax,"
2001-17, Brown University, Department of Economics.
- Bruce Shearer, 2004. "Piece Rates, Fixed Wages and Incentives: Evidence from a Field Experiment," Review of Economic Studies, Oxford University Press, vol. 71(2), pages 513-534.
- repec:oup:qjecon:v:94:y:1980:i:4:p:749-75 is not listed on IDEAS
- Dan Ariely & Uri Gneezy & George Loewenstein & Nina Mazar, 2009.
"Large Stakes and Big Mistakes,"
Review of Economic Studies,
Oxford University Press, vol. 76(2), pages 451-469.
- Canice Prendergast, 1999. "The Provision of Incentives in Firms," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 7-63, March.
- George A. Akerlof, 1997. "Social Distance and Social Decisions," Econometrica, Econometric Society, vol. 65(5), pages 1005-1028, September.
- Dohmen, Thomas, 2005. "Social Pressure Influences Decisions of Individuals: Evidence from the Behavior of Football Referees," IZA Discussion Papers 1595, Institute for the Study of Labor (IZA).
- Uri Gneezy & Aldo Rustichini, 2004.
"Gender and Competition at a Young Age,"
American Economic Review,
American Economic Association, vol. 94(2), pages 377-381, May.
- Falk, Armin & Ichino, Andrea, 2003.
"Clean Evidence on Peer Pressure,"
CEPR Discussion Papers
3834, C.E.P.R. Discussion Papers.
- Armin Falk & Andrea Ichino, . "Clean Evidence on Peer Pressure," IEW - Working Papers 144, Institute for Empirical Research in Economics - University of Zurich.
- Andrea Ichino & Armin Falk, 2003. "Clean evidence on peer pressure," Natural Field Experiments 00239, The Field Experiments Website.
- Falk, Armin & Ichino, Andrea, 2003. "Clean Evidence on Peer Pressure," IZA Discussion Papers 732, Institute for the Study of Labor (IZA).
- Frey, Bruno S & Jegen, Reto, 2001. " Motivation Crowding Theory," Journal of Economic Surveys, Wiley Blackwell, vol. 15(5), pages 589-611, December.
- Armin Falk & Andrea Ichino, 2006.
"Clean Evidence on Peer Effects,"
Journal of Labor Economics,
University of Chicago Press, vol. 24(1), pages 39-58, January.
- Harry J. Paarsch & Bruce S. Shearer, 1999. "The Response of Worker Effort to Piece Rates: Evidence from the British Columbia Tree-Planting Industry," Journal of Human Resources, University of Wisconsin Press, vol. 34(4), pages 643-667.
- repec:oup:qjecon:v:115:y:2000:i:3:p:791-810 is not listed on IDEAS
- Bernheim, B Douglas, 1994. "A Theory of Conformity," Journal of Political Economy, University of Chicago Press, vol. 102(5), pages 841-77, October.
- Spagnolo, Giancarlo, 1999. "Social relations and cooperation in organizations," Journal of Economic Behavior & Organization, Elsevier, vol. 38(1), pages 1-25, January.
- P.-A. Chiappori, 2002. "Testing Mixed-Strategy Equilibria When Players Are Heterogeneous: The Case of Penalty Kicks in Soccer," American Economic Review, American Economic Association, vol. 92(4), pages 1138-1151, September.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp1905. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak)
If references are entirely missing, you can add them using this form.