Speaker: Michalis Drouvelis, University of Birmingham
Abstract: We study two types of interpersonal interaction common in working groups: group compensation and public announcement of performance. In our experiment we employ these treatments in relation to real-effort tasks but then follow completion and payment in each treatment arm with an unrelated opportunity to donate to a local charity. Group interdependence and public announcement of performance have little effect on work performance but striking spillover effects on subsequent donations. Public announcement of performance doubles the amount donated to charity, and group compensation significantly increases the share donating. The results suggest that interpersonal interactions in the workplace environment may have important spillover effects on pro-social behavior outside of work.