Extrinsic Incentives Bias
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Extrinsic Incentives Bias
The extrinsic incentives bias is an attributional bias according to which people attribute relatively more to "extrinsic incentives" (such as monetary reward) than to "intrinsic incentives" (such as learning a new skill) when weighing the motives of others rather than themselves. It is a counter-example to the fundamental attribution error as according to the extrinsic bias others are presumed to have ''situational'' motivations while oneself is seen as having ''dispositional'' motivations. This is the opposite of what the fundamental attribution error would predict. It also might help to explain some of the backfiring effects that can occur when extrinsic incentives are attached to activities that people are intrinsically motivated to do. The term was first proposed by Chip Heath, citing earlier research by others in management science. Example In the simplest experiment Heath reported, MBA A Master of Business Administration (MBA; also Master's in Business Administratio ...
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Attributional Bias
In psychology, an attribution bias or attributional bias is a cognitive bias that refers to the systematic errors made when people evaluate or try to find reasons for their own and others' behaviors.Kelley, H.H. (1967). Attribution theory in social psychology. In D. Levine (Ed.) ''Nebraska Symposium on Motivation'', Lincoln: University of Nebraska Press People constantly make attributions—judgements and assumptions about why people behave in certain ways. However, attributions do not always accurately reflect reality. Rather than operating as objective perceivers, people are prone to perceptual errors that lead to biased interpretations of their social world.Nisbett, R.E. & Ross, L. (1980). ''Human inference: Strategies and shortcomings of social judgment'', Englewood Cliffs, NJ: Prentice-Hall. Attribution biases are present in everyday life. For example, when a driver cuts someone off, the person who has been cut off is often more likely to attribute blame to the reckless driver' ...
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Fundamental Attribution Error
In social psychology, fundamental attribution error (FAE), also known as correspondence bias or attribution effect, is the tendency for people to under-emphasize situational and environmental explanations for an individual's observed behavior while overemphasizing dispositional- and personality-based explanations. This effect has been described as "the tendency to believe that what people do reflects who they are", that is, to overattribute their behaviors (what they do or say) to their personality and underattribute them to the situation or context. The error is in seeing someone's actions as ''solely'' reflective of their personality rather than ''somewhat'' reflective of it and also largely prompted by circumstances. It involves a type of circular reasoning in which the answer to the question "why would they do that" is only "because they ''would'' do that." Although things like personality differences and predispositions are in fact real, the fundamental attribution error is a ...
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Motivation Crowding Theory
Motivation crowding theory is the theory from psychology and microeconomics suggesting that providing extrinsic incentives for certain kinds of behavior—such as promising monetary rewards for accomplishing some task—can sometimes undermine intrinsic motivation for performing that behavior. The result of lowered motivation, in contrast with the predictions of neoclassical economics, can be an overall in the total performance. The term "crowding out" was coined by Bruno Frey in 1997, but the idea was first introduced into economics much earlier by Richard Titmuss, who argued in 1970 that offering financial incentives for certain behaviors could counter-intuitively lead to a drop in performance of those behaviors. While the empirical evidence supporting crowding out for blood donation has been mixed, there has since been a long line of psychological and economic exploration supporting the basic phenomenon of crowding out. The typical study of crowding out asks subjects to com ...
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Chip Heath
Chip Heath is an American academic. He is the Thrive Foundation for Youth Professor of Organizational Behavior at the Stanford Graduate School of Business, and the co-author of several books. Early life Heath graduated from Texas A&M University, where he earned a Bachelor of Science degree in industrial engineering. He subsequently earned a PhD in psychology from Stanford University Stanford University, officially Leland Stanford Junior University, is a private research university in Stanford, California. The campus occupies , among the largest in the United States, and enrolls over 17,000 students. Stanford is consider .... Career Heath taught at the University of Chicago Graduate School of Business and the Fuqua School of Business at Duke University. Heath is a professor of organizational behavior at the Stanford Graduate School of Business. He has taught courses on organizational behavior, negotiation, international strategy, and social entrepreneurship. With his brot ...
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