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Incentive Schemes in Export and Investment Promotions

Author

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  • Arozamena, Leandro
  • Weinschelbaum, Federico

Abstract

This study examines the use of incentive mechanisms for employees in export and investment promotion agencies intended to improve their performance. It briefly describes these organizations and presents the contributions from economic theory that are useful to understand the agency problems that arise. It proposes a framework to study the issues that need to be considered to design a sound incentive mechanism. The study concludes that such a design should be carried out carefully, analyzing all of the possible drawbacks of rewarding each measure of employee performance, and identifies the main issues that need to be resolved.

Suggested Citation

  • Arozamena, Leandro & Weinschelbaum, Federico, 2012. "Incentive Schemes in Export and Investment Promotions," IDB Publications (Working Papers) 4090, Inter-American Development Bank.
    • Handle: RePEc:idb:brikps:4090
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    References listed on IDEAS

    as
    1. repec:idb:brikps:16458 is not listed on IDEAS
    2. Christian Volpe Martincus, 2010. "Odyssey in International Markets: An Assessment of the Effectiveness of Export Promotion in Latin America and the Caribbean," IDB Publications (Books), Inter-American Development Bank, number 16458, February.
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    More about this item

    Keywords

    Incentive Mechanisms; Employees; Export and Investment Promotion Agencies;
    All these keywords.

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M50 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - General

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