As I said on Friday, I really enjoyed coming to your company and talking about what the world of economics has to say about incentives, loyalty programs, and analyzing program effectiveness. As promised, here are the slides from the presentation (with a follow up or two added), both in Flash format and as the original PowerPoint file:
(Note: To advance properly through the animation, just use the single triangle button when you want to move forward. If you are experiencing difficulties, you probably need to install the latest versions of Flash and Shockwave from Adobe.)
You can also download the original PowerPoint slides if you prefer.
Due to the wonders of technology, I am able to put the video in its entirety here. The quality is not great, but the sound is fine, and I also put the slides as overlays where relevant so it’s easier to follow along. I didn’t include the Q&A at the end, mainly because I didn’t want to put people on the Internet without their permission.
You can also watch the (bigger) video directly on the Vimeo site here.
Below are the sources from the presentation with links to find them. Wherever possible, I used ungated (read, free) links, but some of the papers are only available via subscription or purchase.
- Edward Lazear and Paul Oyer, “Personnel Economics,” Handbook of Organizational Economics, forthcoming.
- Paul Oyer, “Fiscal Year Ends and Nonlinear Incentive Contracts: The Effect on Business Seasonality,” The Quarterly Journal of Economics, February 1998.
- Donald Roy, “Quota Restriction and Goldbricking in a Machine Shop,” The American Journal of Sociology, March 1952.
- John T. Gourville, “Pennies-a-Day: The Effect of Temporal Reframing on Transaction Evaluation,” The Journal of Consumer Research, March 1998.
- Richard H. Thaler, “Mental Accounting Matters,” Journal of Behavioral Decision Making, 1999.
- Daniel Pink, Drive.
- Uri Gneezy and Aldo Rustichini, “A Fine Is a Price,” The Journal of Legal Studies, January 2000.
- Uri Gneezy and Aldo Rustichini, “Pay Enough or Don’t Pay at All,” The Quarterly Journal of Economics, August 2000.
- Roland Fryer, Jr., “Financial Incentives and Student Achievement: Evidence from Randomized Trials,” working paper, 2010.
- Joshua Angrist and Victor Lavy, “The Effects of High Stakes High School Achievement Awards: Evidence from a Randomized Trial,” The American Economic Review, 2009.
- Joseph C. Nunes and Xavier Dreze, “The Endowed Progress Effect: How Artificial Advancement Increases Effort,” The Journal of Consumer Research, March 2006.
- Xavier Dreze and Joseph C. Nunes , “Feeling Superior: The Impact of Loyalty Program Structure on Consumers’ Perceptions of Status,” The Journal of Consumer Research, April 2009.
- Amalia R. Miller, “The Effects of Motherhood Timing on Career Path,” working paper, 2005.
- Joshua D. Angrist, “Lifetime Earnings and the Vietnam Era Draft Lottery: Evidence from Social Security Administrative Records,” The American Economic Review, June 1990.
In addition, here are some links that I alluded to in the presentation but didn’t source directly:
- Daniel Kahneman, Jack L. Knetsch, Richard H. Thaler, “Anomalies: The Endowment Effect, Loss Aversion, and Status Quo Bias,” The Journal of Economic Perspectives, 1991.
- Hawthorne effect
- Mere-measurement effect
- “Paying Not to Go to the Gym” (salience and decision making)
Lastly, I gave Lori some Economists Do It With Models stickers for you to pick up if you like. I hope this is helpful, and feel free to send follow up questions my way at econgirl at economistsdoitwithmodels dot com.