Propositions About the Effects of Performance-Contingent Monetary Incentives on Task Performance
Posted: 2 Sep 1999
Date Written: May 1999
In this paper, we develop sixteen testable propositions about variables that moderate a positive relation between monetary incentives and task performance. The propositions are derived from a comprehensive review of the literatures in accounting, economics, finance, management, psychology, and other areas. We organize the propositions into four sections: person variables, task variables, environmental variables, and incentive-scheme variables. In addition, our focus is on moderators that are of significance to accounting researchers and accounting-related tasks as well as to organizations in general. Finally, we discuss possible directions for future research on the efficacy of monetary incentives for improving task performance.
JEL Classification: J33, M40, M46
Suggested Citation: Suggested Citation