Individual, Collective, and Systems Rationality in Work Groups

In work teams two situations often arise: first, one can observe only the output of the work group, not the contributions of each member; second, the output of each member depends not only on herown effort but also on those of co-workers as well. The problem that arises is how to construct reward schemes. Group piece-rate schemes are often suggested as a solution. However, these are susceptible to free-rider problems. A classical solution relies on a supervisor who keeps free riders in line. This article duscusses another solution where the relationship between output and reward is highly nonlinear

Construct (python library) · Economics · Free rider problem · Group (periodic table) · Management · Mathematical economics · Microeconomics · Nonlinear system · Physics · Political science · Public good · Rationality · Supervisor · Type (biology) · Work (physics) · Business Strategy and Innovation · Computer Science · Economic theories and models · Engineering · Game Theory and Applications · Law · Mathematics · Psychology · Social Psychology

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