The Effect of Help in Teamwork on Individual Incentive Reversal: Laboratory Economics in a Dynamic Game

Abstract

The main purpose of this study is to investigate the effect of "help" behavior on “individual incentive reversal”. In order to measure the variable “incentive reversal”, a dynamic game with complete information in the laboratory environment was held. The sample consists of 186 students from the universities of Yazd, Meybod and Mehriz, divided into 62 teams of three persons. Also, to measure the "help" variable, the players were asked after the game to voluntarily and secretly spend the proceeds of the game in a charity. In this framework, players could grant part of the proceeds from the game to either “treat cancer-illed children” or “advance research”. The results showed that teams with more volunteering players would see less incentive reversal among team members.

Keywords

• game theory
• help behavior
• incentive reversal
• experimental study
• behavioral economics