Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/40001
Authors: 
Auriol, Emmanuelle
Brilon, Stefanie
Year of Publication: 
2010
Series/Report no.: 
Proceedings of the German Development Economics Conference, Hannover 2010 40
Abstract: 
Intrinsic motivation of workers may arise from different individual motives. While some workers care about the mission of an organization and derive an intrinsic benefit from advancing this mission ("good" workers), others derive pleasure from some form of destructive or anti-social behavior ("bad" workers). We show that mission-oriented organizations can take advantage of the intrinsic motivation of good workers. Compared to profit-oriented organizations, lower bonus payments and lower monitoring are necessary in order to achieve a high output. However, as soon as there are bad workers, mission-oriented organizations may become more vulnerable to their anti-social behavior than profit-oriented organizations. We analyze the optimal wage contracts and monitoring levels for both types of organization and discuss appropriate measures of ex ante candidate screening to overcome the problems caused by bad workers.
Subjects: 
motivated agents
non-profit
sabotage
candidate selection
JEL: 
D21
D23
L31
Document Type: 
Conference Paper

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