Preferences for Autonomy in Pay

35 Pages Posted: 8 Feb 2020

See all articles by Elena Pikulina

Elena Pikulina

Finance Division, Sauder School of Business, University of British Columbia (UBC)

Chloe Tergiman

The Pennsylvania State University

Date Written: January 7, 2020

Abstract

A recent literature points to individuals having preferences for autonomy from others when it concerns how much they earn. Using a simple experiment we evaluate whether individuals exhibit preferences for autonomy without confounds present in the earlier work. We show that in their vast majority (close to 90%), individuals show no such preferences for autonomy. Our results suggest that the previously documented prevalence of autonomy preferences is likely due to risk attitudes, environment complexity, perceived uncertainty or beliefs, rather than preferences for autonomy in pay per se.

Keywords: Independence, freedom, non-interference, authority, control, Becker-DeGroot-Marschak mechanism, laboratory experiment

JEL Classification: C91, D01, D91, M54

Suggested Citation

Pikulina, Elena and Tergiman, Chloe, Preferences for Autonomy in Pay (January 7, 2020). Available at SSRN: https://ssrn.com/abstract=3515050 or http://dx.doi.org/10.2139/ssrn.3515050

Elena Pikulina (Contact Author)

Finance Division, Sauder School of Business, University of British Columbia (UBC) ( email )

2053 Main Mall
Vancouver, BC V6T 1Z2
Canada
6048223314 (Phone)

HOME PAGE: http://epikulina.com

Chloe Tergiman

The Pennsylvania State University ( email )

University Park
State College, PA 16802
United States

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