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Knowledge acquisition or incentive to foster coordination? A real-effort weak-link experiment with craftsmen

Author

Listed:
  • Mathieu Lefebvre

    (Aix Marseille Univ, CNRS, AMSE, Marseille, France)

  • Lucie Martin-Bonnel de Longchamp

    (BETA, University of Strasbourg, Strasbourg, France)

Abstract

This paper presents an artefactual field experiment with craftsmen working on renovation projects to assess the effect of training programs and incentive schemes on coordination. Workers frequently fail to coordinate their tasks when not supervised by a project coordinator. This is particularly important in the construction sector where it leads to a lack of final performance in buildings. We introduce two different incentives: a first contract paying craftsmen only according to their individual performance, and a second contract paying a group of three craftsmen with a weak-link payment according to the group's worst performance. In addition, we test these incentives on two different subject groups: one is composed of craftsmen trained to coordinate their tasks, and the others are not. The results suggest that trained subjects coordinate at significantly higher effort levels than non-trained subjects when facing an individual-based incentive. However, when facing a group-based incentive, non-trained subjects seem to "catch up" trained subjects in terms of coordination level, while these latter subjects do not significantly increase their performance level.

Suggested Citation

  • Mathieu Lefebvre & Lucie Martin-Bonnel de Longchamp, 2022. "Knowledge acquisition or incentive to foster coordination? A real-effort weak-link experiment with craftsmen," Journal of Behavioral Economics for Policy, Society for the Advancement of Behavioral Economics (SABE), vol. 6(S1), pages 93-107, July.
  • Handle: RePEc:beh:jbepv1:v:6:y:2022:i:s1:p:93-107
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    More about this item

    Keywords

    coordination; real-effort weak-link experiment; artefactual field experiment; individual incentive; group incentive;
    All these keywords.

    JEL classification:

    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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