Working paper icon

Working paper

Reciprocity and Payment Schemes: When Equality Is Unfair

Abstract:

A growing literature stresses the importance of reciprocity, especially for employment relations. In this paper, we study the interaction of different payment modes with reciprocity. In particular, we analyze how equal wages affect performance and efficiency in an environment characterized by contractual incompleteness. In our experiment, one principal is matched with two agents. The principal pays equal wages in one treatment and can set individual wages in the other. We find that the use of...

Expand abstract

Actions


Access Document


Files:

Authors


Johannes Abeler More by this author
Steffen Altmann More by this author
Sebastian Kube More by this author
Matthias Wibral More by this author
Volume:
2500
Series:
IZA Discussion Paper Series
Publication date:
2006-12-05
URN:
uuid:8f8d6f54-4922-4a97-9703-c622ceb3f9c9
Local pid:
oai:economics.ouls.ox.ac.uk:15286
Language:
English

Terms of use


Metrics



If you are the owner of this record, you can report an update to it here: Report update to this record

TO TOP