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- W2009320797 abstract "This paper investigates in a principal–agent environment whether and how group membership influences the effectiveness of incentives and when incentives can have “hidden costs”, i.e., a detrimental effect. We show experimentally that in all interactions control mechanisms can have hidden costs for reasons specific to group membership. In within-group interactions control has detrimental effects because the agent does not expect to be controlled and reacts negatively when being controlled. In between-group interactions, agents perceive control more hostile once we condition on their beliefs about principals' behavior. Our finding contributes to the micro-foundation of psychological effects of incentives." @default.
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- W2009320797 date "2014-07-01" @default.
- W2009320797 modified "2023-10-17" @default.
- W2009320797 title "Incentives and group identity" @default.
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- W2009320797 doi "https://doi.org/10.1016/j.geb.2014.02.013" @default.
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