DOES MONITORING INCREASE WORK EFFORT? THE RIVALRY WITH TRUST AND LOYALTY

BRUNO S. FREY*
[url=] [/url] *Professor of Economics, Institute for Empirical Economic Research, University of Zurich, Blümlisalpstr. 10, 8006 Zurich, Switzerland. Research for this paper was undertaken while the author was Visiting Professor of Economics at the University of Chicao. I am grateful for helpful comments to Gary Becker, Iris Bohnet, Robert Cooter, William Dickens, Reiner Eichenberger, Klaus Foppa, Beat Gygi, Beat Heggli, Daniel Kahnemann, Hartmut Kliemt, Edward Lazear, Carmen Matutes, Margit Osterloh, Daniel Rubinfeld, Marc Ryser, Erich Schanze, Angel Serna, Wolfgang Stroebe, hannelore Weck-Hannemann, and Oliver Williamson. Financial Support is gratefully acknowledged to the Richard Büchner-Stiftung at the University of Zurich.


Copyright 1993 Western Economic Association