Incentive Mechanisms, Loan Decisions and Credit Rationing: A Framed Field Experiment on China's Responsibility System for Rural Credit

2011 ◽  
Author(s):  
Jessica (Ying) Cao ◽  
Calum G. Turvey ◽  
Jiujie Ma ◽  
Rong Kong ◽  
Guangwen He ◽  
...  
Keyword(s):  
Field Experiment ◽  
Credit Rationing ◽  
Incentive Mechanisms ◽  
Rural Credit ◽  
Framed Field Experiment ◽  
Responsibility System

Cheating for the Cause: The Effects of Performance-Based Pay on Socially Oriented Misreporting

2020 ◽  
Author(s):  
Jessen L. Hobson ◽  
Ryan D. Sommerfeldt ◽  
Laura W. Wang
Keyword(s):  
Field Experiment ◽  
Social Mission ◽  
For Profit ◽  
Not For Profit ◽  
Additional Costs ◽  
Framed Field Experiment ◽  
Performance Based Pay

We examine the effect of performance-based pay on misreporting intended to benefit a social mission. We show that performance-based pay decreases people's propensity to misreport for a social mission in a not-for-profit setting (Experiment 1). We similarly show that, in a for-profit setting, performance-based pay also decreases misreporting propensity for a social mission, though not for a non-social mission (Experiment 2). Finally, using a framed field experiment with participants attending a conference hosted by a real charity, we show that performance-based pay reduces actual misreporting when misreporting leads to more donations for the charity (Experiment 3). These results are consistent with our theory suggesting that, relative to fixed pay, performance-based pay imposes additional costs on misreporting employees' self-concepts of benevolence and honesty.

scholarly journals File sharing as conditional cooperation: evidence from a framed field experiment

2018 ◽  
Vol 26 (2) ◽  
pp. 91-96 ◽  
Author(s):  
Wojciech Hardy ◽  
Michal Krawczyk ◽  
Joanna Tyrowicz
Keyword(s):  
Field Experiment ◽  
File Sharing ◽  
Conditional Cooperation ◽  
Framed Field Experiment

Risk aversion in prediction markets: A framed-field experiment

2016 ◽  
Vol 69 (11) ◽  
pp. 5071-5075 ◽  
Author(s):  
Béatrice Boulu-Reshef ◽  
Irene Comeig ◽  
Robert Donze ◽  
Gregory D. Weiss
Keyword(s):  
Risk Aversion ◽  
Field Experiment ◽  
Prediction Markets ◽  
Framed Field Experiment

The demand for credit, credit rationing and the role of microfinance

2014 ◽  
Vol 6 (2) ◽  
pp. 295-315 ◽  
Author(s):  
Enjiang Cheng ◽  
Abdullahi D. Ahmed
Keyword(s):  
Gender Equity ◽  
Migrant Workers ◽  
Rural China ◽  
Credit Rationing ◽  
Microfinance Institutions ◽  
Content Type ◽  
Rural Credit ◽  
Rural Credit Cooperatives ◽  
Credit Cooperatives ◽  
Female Headed Households

Purpose – The purpose of this study is to examine the demand for credit and credit rationing conducted by formal, informal and emerging microfinance lenders in the four poor counties of China. Design/methodology/approach – This paper extends the existing studies on credit rationing in rural China by comparing the determinants of credit rationing by three different lenders, the formal lenders rural credit cooperatives (RCCs), the informal lenders and the new microfinance institutions (MFIs). Findings – MFIs are capable of reaching out to the even poorer households if they develop the loan products based on the income and expenditure flows of these households. Research limitations/implications – The determinants of credit rationing by three types of institutions are estimated separately. Practical implications – RCCs in China shall change their policy of discrimination against female-headed households. RCCs shall also simplify the loan application procedures and assess the clients based on their repayment capacities rather than the age or assets alone. RCCs could learn from MFIs to use incomes from migrant workers as a criterion to assess the loan applicants. Social implications – gender equity for loan access. Originality/value – This paper extends the existing studies on credit rationing in rural China by comparing the determinants of credit rationing by three different lenders, the formal lenders (RCCs), the informal lenders and the new MFIs.

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