Can budget ambiguity crowd out intrinsic motivation? Longitudinal evidence from federal executive departments

2020 ◽  
Vol 98 (1) ◽  
pp. 194-209
Author(s):  
Jongmin Shon ◽  
Gregory A. Porumbescu ◽  
Robert K. Christensen
Author(s):  
James Pattison

This chapter considers the use of economic, political, and legal incentives. After presenting three notable reasons for using positive incentives—including the fact that they are not coercive—it considers several objections to their use. These include, centrally, the worry that they reward those who commit egregious wrongdoing and therefore are problematic in terms of desert. It also considers the potential moral hazard that such inducements will encourage others to commit wrongdoing and the potential for incentives to ‘crowd out’ intrinsic motivation and to undermine morally valuable international norms and laws. Although the chapter largely defends the case for positive incentives, it rejects the case for international amnesties and exile.


2021 ◽  
pp. 1-14
Author(s):  
Erik Gråd ◽  
Arvid Erlandsson ◽  
Gustav Tinghög

Abstract Both theory on motivational crowding and recent empirical evidence suggest that nudging may sometimes backfire and actually crowd out prosocial behavior, due to decreased intrinsic motivation and warm glow. In this study, we tested this claim by investigating the effects of three types of nudges (default nudge, social norm nudge, and moral nudge) on donations to charity in a preregistered online experiment (N = 1098). Furthermore, we manipulated the transparency of the nudges across conditions by explicitly informing subjects of the nudges that were used. Our results show no indication that nudges crowd out prosocial behavior; instead, all three nudges increased donations. The positive effects of the nudges were driven by the subjects who did not perceive the nudges as attempts to manipulate their behavior, while donations among subjects who felt that the nudges were manipulative remained unaffected. Subjects’ self-reported happiness with their choice also remained unaffected. Thus, we find no indication that nudges crowded out warm glow when acting altruistically. Generally, our results are good news for the proponents of nudges in public policy, since they suggest that concerns about unintended motivational crowding effects on prosocial behavior have been overstated.


Author(s):  
Robert Sugden

Chapter 9 considers a critique of the market and of the liberal tradition of economics that has been made both by virtue ethicists and by behavioural economists. According to this critique, market relations are based on self-interested and instrumental motivations, and so are morally impoverished; socially valuable practices (particularly those of trust and reciprocity) can depend on pro-social and intrinsic motivations which the market tends to ‘crowd out’. An important strand of behavioural economics is concerned with modelling intrinsic motivation, ‘social preferences’ and preferences for conforming to social norms. I identify a paradoxical implication of many of these models: there cannot be an equilibrium in which everyone is completely trustworthy, because if everyone were trustworthy, trust would not reveal pro-social intentions and so could not prompt trustworthiness. This is the ‘Paradox of Trust’.


2021 ◽  
pp. 202-213
Author(s):  
Jason Brennan ◽  
William English ◽  
John Hasnas ◽  
Peter Jaworski

People are predominantly but not entirely selfish. However, they do generally have strong degrees of altruistic motivation in certain situations. Good management strategies must be careful not to crowd out intrinsic motivation—in which people do what things for their own sake—for extrinsic motivation—in which people are motivated primarily by rewards and punishments. It is important to structure work environments so that people find their work meaningful. Too much focus on extrinsic motivation can not only cause people to behave morally worse, but to perform worse in general.


2004 ◽  
Vol 49 (5) ◽  
pp. 532-534 ◽  
Author(s):  
Dale H. Schunk
Keyword(s):  

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