Arbeitspapier
Designing performance-based incentives when service providers compete for users to help
Social service providers such as teachers, healthcare providers and homeless shelters receive trillions of dollars each year to help people. Recently, policymakers and other funders have attempted to obtain better outcomes by implementing performance-based incentive schemes that pay more money to higher performing providers. In this paper, I develop a simple model of this incentive design problem with a distinguishing feature – providers compete for users to help by adjusting service quality. I characterize a broad class of incentive schemes that elicit efficient service quality, and I show that popular incentive schemes (including value-added and pay-for-percentile schemes) are generally suboptimal and can have perverse distributional consequences, even when all characteristics of individuals are observed. I discuss implications for performance-based incentives in education and healthcare.
- Sprache
-
Englisch
- Erschienen in
-
Series: AEI Economics Working Paper ; No. 2016-10
- Klassifikation
-
Wirtschaft
- Thema
-
homelessness
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Corinth, Kevin C.
- Ereignis
-
Veröffentlichung
- (wer)
-
American Enterprise Institute (AEI)
- (wo)
-
Washington, DC
- (wann)
-
2016
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:45 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Corinth, Kevin C.
- American Enterprise Institute (AEI)
Entstanden
- 2016
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