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Intention-Based Reciprocity and the Hidden Costs of Control

Author

Listed:
  • Ferdinand von Siemens

    (University of Amsterdam)

Abstract
Empirical research suggests that - rather than improving incentives - exerting controlcan reduce workers' performance by eroding motivation. The present paper shows thatintention-based reciprocity can cause such motivational crowding-out if individuals differin their propensity for reciprocity and preferences are private information. Not beingcontrolled might then be considered to be kind, because not everybody reciprocates notbeing controlled with high effort. This argument stands in contrast to existing theoreticalwisdom on motivational crowding-out that is primarily based on signaling models.

Suggested Citation

  • Ferdinand von Siemens, 2011. "Intention-Based Reciprocity and the Hidden Costs of Control," Tinbergen Institute Discussion Papers 11-115/1, Tinbergen Institute.
    • Handle: RePEc:tin:wpaper:20110115
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    extrinsic and intrinsic motivation; crowding-out; intention-based reciprocity;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General

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