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First-place loving and last-place loathing: how rank in the distribution of performance affects effort provision

Abstract:

Rank-order relative-performance evaluation, in which pay, promotion, symbolic awards, and educational achievement depend on the rank of individuals in the distribution of performance, is ubiquitous. Whenever organizations use rank-order relative-performance evaluation, people receive feedback about their rank. Using a real-effort experiment, we aim to discover whether people respond to the specific rank that they achieve. In particular, we leverage random variation in the allocation of rank a...

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Publication status:
Published
Peer review status:
Peer reviewed

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Publisher copy:
10.1287/mnsc.2017.2907

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Institution:
University of Oxford
Division:
SSD
Department:
Economics
Oxford college:
Hertford College
Role:
Author
Publisher:
INFORMS Publisher's website
Journal:
Management Science Journal website
Volume:
65
Issue:
2
Pages:
494-507
Publication date:
2018-02-13
Acceptance date:
2017-07-24
DOI:
EISSN:
1526-5501
ISSN:
0025-1909
Source identifiers:
601311

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