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A Relative Deprivation Approach to Performance Incentives in Career Games and Other Contests

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  • Stark, Oded

Abstract

To study performance incentives and reward structures, an equation based on the theory of relative deprivation is derived. The equation is applied to obtain several fundamental properties of career games and, in particular, to identify new devices for intervention that will encourage desirable behavior in such games. The last part contains comments pertaining to reference group formation, information, size, job transfers, and the general functional relationship between relative deprivation and effort elicitation. Copyright 1990 by WWZ and Helbing & Lichtenhahn Verlag AG

Suggested Citation

  • Stark, Oded, 1990. "A Relative Deprivation Approach to Performance Incentives in Career Games and Other Contests," Kyklos, Wiley Blackwell, vol. 43(2), pages 211-227.
    • Handle: RePEc:bla:kyklos:v:43:y:1990:i:2:p:211-27
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    Cited by:

    1. Matthias Kräkel, 2002. "U-Type versus J-Type Tournaments," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 158(4), pages 614-637, December.
    2. Stark, Oded, 2006. "Inequality and migration: A behavioral link," Economics Letters, Elsevier, vol. 91(1), pages 146-152, April.
    3. Tortia, Ermanno, 2014. "L'impresa come bene comune," AICCON Working Papers 131-2013, Associazione Italiana per la Cultura della Cooperazione e del Non Profit.
    4. Christian Grund & Dirk Sliwka, 2005. "Envy and Compassion in Tournaments," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 14(1), pages 187-207, March.
    5. Oded Stark, 2006. "Status Aspirations, Wealth Inequality, and Economic Growth," Review of Development Economics, Wiley Blackwell, vol. 10(1), pages 171-176, February.
    6. Sjögren Lindquist, Gabriella, 2010. "Tournaments and unfair treatment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 39(6), pages 670-682, December.
    7. Stark, Oded & Wang, You Qiang, 2005. "Towards a Theory of Self-Segregation as a Response to Relative Deprivation: Steady-State Outcomes and Social Welfare," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 223-242.
    8. Calabrese, Armando, 2012. "Service productivity and service quality: A necessary trade-off?," International Journal of Production Economics, Elsevier, vol. 135(2), pages 800-812.
    9. Stark Oded & Wang, 2000. "A Theory of Migration as a Response to Relative Deprivation," German Economic Review, De Gruyter, vol. 1(2), pages 131-143, May.
    10. Paul, Satya, 1991. "An index of relative deprivation," Economics Letters, Elsevier, vol. 36(3), pages 337-341.
    11. Leete, Laura, 2000. "Wage equity and employee motivation in nonprofit and for-profit organizations," Journal of Economic Behavior & Organization, Elsevier, vol. 43(4), pages 423-446, December.
    12. Oded Stark & Grzegorz Kosiorowski, 2021. "Turning relative deprivation into a performance incentive device," The Journal of Mathematical Sociology, Taylor & Francis Journals, vol. 45(1), pages 22-36, January.
    13. Krakel, Matthias, 2000. "Relative deprivation in rank-order tournaments," Labour Economics, Elsevier, vol. 7(4), pages 385-407, July.
    14. Tortia, Ermanno C., 2008. "Worker well-being and perceived fairness: Survey-based findings from Italy," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(5), pages 2080-2094, October.

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