Awards, incentives and mutual benefit

Robert Sugden

International Review of Economics, 2019, vol. 66, issue 1, No 2, 5-16

Abstract: Abstract Frey argues that if buyers and sellers of labour understand their relationship merely as exchange, workers’ intrinsic motivation can be impaired; this problem can be partially overcome by using awards as a supplementary reward mechanism. I argue that this proposal is self-defeating. In an economy that relies on the division of labour, it is an unavoidable fact that individuals are subject to the will of others; award-giving practices are merely camouflage. However, recognising this fact need not impair anyone’s sense of autonomy as a paid worker if participation in market exchanges is understood as expressing intentions for mutual benefit.

Keywords: Awards; Incentives; Mutual benefit; Intrinsic motivation (search for similar items in EconPapers)
JEL-codes: B41 D9 (search for similar items in EconPapers)
Date: 2019
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Citations: View citations in EconPapers (2)

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DOI: 10.1007/s12232-017-0288-1

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