English
 
Help Privacy Policy Disclaimer
  Advanced SearchBrowse

Item

ITEM ACTIONSEXPORT

Released

Paper

Monetary and Social Incentives in Multi-Tasking: The Ranking Substitution Effect

MPS-Authors
/persons/resource/persons206813

Sutter,  Matthias
Max Planck Institute for Research on Collective Goods, Max Planck Society;

External Resource
Fulltext (public)
There are no public fulltexts stored in PuRe
Supplementary Material (public)
There is no public supplementary material available
Citation

Stefan, M., Huber, J., Kirchler, M., Sutter, M., & Walzl, M. (2020). Monetary and Social Incentives in Multi-Tasking: The Ranking Substitution Effect.


Cite as: http://hdl.handle.net/21.11116/0000-0006-66F3-5
Abstract
Rankings are prevalent information and incentive tools in labor markets with strong competition for talent. In a dynamic model of multi-tasking and an accompanying experiment with financial professionals, we identify hidden ranking costs when performance in one task is incentivized and ranked while another prosocial task is not: (i) a ranking influences behavior if individuals lag behind: they spend more total effort and substitute effort in the prosocial task with effort in the ranked task; (ii) those ahead in the ranking spend less total effort and lower relative effort in the ranked task. Implications for incentive schemes are discussed.