Incentives to Persevere

• 成果类型: Article
• 署名作者: Incekara-Hafalir, Elif; Lee, Grace H. Y.; Siah, Audrey K. L.; Xiao, Erte
• 署名单位: University of Technology Sydney; Monash University; Monash University Malaysia; Monash University
• 刊物名称: MANAGEMENT SCIENCE
• ISSN/ISSBN: 0025-1909
• DOI: 10.1287/mnsc.2022.4649
• 发表日期: 2023
• 页码: 5378-5393
• 关键词: perseverance; incentives; self-control; field experiments

摘要

Achieving success often requires persistent effort. We study the effectiveness of two reward mechanisms, all-or-nothing and piece-rate, to incentivize full completion of repeated tasks over time. Our theoretical analysis shows that exogenously imposing the all-or-nothing mechanism can be ineffective due to the potential discouragement effect. In contrast, empowering individuals to choose between the two reward mechanisms can significantly improve the full completion rate. Data from a series of field experiments and follow-up replications provide robust evidence that the all-or-nothing mechanism is effective only when it is presented as an option. Our results highlight the importance of choice in incentivizing persistent effort.