Search results for "incentive"
showing 10 items of 297 documents
How Return Affects the Decision to Surrender a Savings Insurance Policy: Detailed Observations on the Reverse Disposition Effect
2020
The disposition effect has been widely studied in academia, while the reverse disposition effect observed in mutual funds has gained relatively little attention. This study examines the reverse disposition effect in detail by using policy-level data from a Finnish life insurer with a considerable sample size. The results show that the Finnish savings policies with a positive return have a surrender rate that is over 30 percent lower than that of policies with a negative return. Tax incentives and expected future returns do not seem to cause this reverse disposition effect directly. Salient information strengthens the reverse disposition effect, and higher policyholder age and surrender fees…
Desertions in nineteenth-century shipping: modelling quit behaviour
2013
Ship jumping in foreign ports was widespread throughout the age of sail. Desertion by seamen was illegal, it occurred abroad, and men who deserted only seldom returned home. We analyse desertion quantitatively and link it to the broader question of quit behaviour and labour turnover. Though the better wages paid at the foreign ports were the main reason for desertion, the regression model of the determinants of desertion indicates that outside opportunities, such as migration, and monetary incentives played a significant role in the nineteenth-century labour market, characterized by rather strict control over labour supply, working conditions, and terms of trade. Copyright , Oxford Universi…
Employee types and endogenous organizational design: an experiment
2011
When managers are sufficiently guided by social preferences, incentive provision through an organizational mode based on informal implicit contracts may provide a cost-effective alternative to a more formal mode based on explicit contracts and active monitoring. This paper reports the results from a stylized laboratory experiment designed to test whether subjects in the role of firm owner rely on the social preferences of other (‘employee’) subjects with whom they are matched when choosing which payoff version of a simple trust game these employee subjects should play (‘the organizational mode’). Our main finding is that they do so, albeit in a different way than theory predicts. The import…
Exchange Rate and Macroeconomic Fluctuations as Sources of Luck in CEO Compensation
2011
Exchange rate and other macroeconomic fluctuations can be considered sources of good or bad “luck” for corporate performance. Incentive effects of performance-based compensation for management may be weakened or biased by macroeconomic influences on remuneration depending on the ability of management to adjust operations. We decompose the changes in CEO-compensation to distinguish between (anticipated-and unanticipated) macroeconomic and “intrinsic” sources. Total US CEO-compensation is measured both including options awarded and options exercised. Both depend strongly on variations in macro-factors but the time patterns differ. Allowing for asymmetric effects on compensation we find that c…
Executive Compensation and Macroeconomic Fluctuations
2008
Macroeconomic fluctuations affect corporations' performance through demand and cost conditions. Incentive effects of performance-based compensation schemes for management may be weakened or biased by macroeconomic influences if management is unable to forecast macroeconomic fluctuations or unable to adjust operations in response to changes in macroeconomic conditions. In this paper we analyze the impact of macroeconomic, industry and firm-specific factors on salaries and bonus of CEOs in 131 Swedish corporations during the period 2001-2006. A distinction is made between anticipated and unanticipated macroeconomic fluctuations. The macroeconomic influences on performance and compensation can…
Experiences of Refugees When Entering Higher Education and Over the Course of Their Studies: A Literature Review of Structural and Personal Challenges
2021
In view of the significantly increasing number of individuals around the world who are forced to flee their country of origin, research discussions about integrating refugees into education are gaining relevance. A central research area is their entry into and study success in higher education, focusing on the associated challenges this learner group faces. Though the results of studies dealing with this topic often overlap, they usually focus on individual sub-areas and set specific thematic priorities. As a result, certain sub-areas such as administrative challenges are examined far more frequently than others. In this literature review, data from 14 English-language studies published bet…
Autonomy Freedom and Preferences for Redistribution
2007
In this paper we study the determinants of people's attitudes toward income inequality and their consequences for redistributive policies. In the light of a recent literature in social choice theory, we argue that an individual's attitudes toward inequality depend upon the extent of autonomy freedom he/she enjoys. We use individual level data to validate our theory and show that the higher the extent of an individual's autonomy freedom, the greater the probability that he/she supports larger income differences as incentives for individual effort. Conversely, the lower the extent of autonomy freedom, the more likely he/she supports the view that incomes should be made more equal. These findi…
ERP Post-implementation Issues in Small-and- Medium-Sized Enterprises
2011
This paper focuses on ERP post-implementation issues in Small-and-Medium-Sized Enterprises (SMEs).We conducted a case study in a small Norwegian retail company. We studied the enterprise in the period after going live with their new ERP system. Certain challenges were observed such as security risks because of inaccurate configuration of the system, difficulties with operational issues such as sending invoices and getting sales reports, inaccurate inventory, insufficient training arrangement, workarounds, conflicting incentives among customer, reseller and consultant. There were human consequences for end users since the implementation of the system caused stress among some of the employees…
Monetary and non-monetary incentives for educational attainment: design and effectiveness
2020
Abstract The use of extrinsic incentives to steer individual behavior is at the heart of economics and the effects of monetary incentives for students, parents, and teachers on educational attainment have been studied widely. However, the use of monetary incentives may be difficult to scale up because they are potentially expensive and educators and parents may be skeptical about cash for grades. Non-monetary incentives have the potential to mitigate these problems while being cost-effective in increasing educational attainment. This chapter reviews the literature on providing extrinsic, monetary and non-monetary incentives to increase educational attainment. Thereby, we focus on the design…
Multiple Candidacies and the Role of the Lowest Electoral Tier for Individualized Campaigning
2015
The effects of mixed electoral systems on politicians’ incentives and work in the legislature are most often studied in isolation from the possibly mediating role of campaign behavior. The tier in which a candidate runs might determine a particular style and content of campaigning, more or less party centered and more or less constituency oriented, which in turn could shape how the elected politician will perceive her mandate and act upon it. But what type of campaigning prevails when candidacy in multiple tiers is the rule and the majoritarian element is the dominant component of the mixed electoral system? The present study draws on a survey of 431 candidates in the 2010 Hungarian parlia…