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Using preference parameter estimates to optimize public sector wage contracts: A field study in Pakistan

Andreoni, James and Callen, Michael and Hussain, Kurrar and Khan, Muhammad Yasir and Sprenger, Charles (2022) Using preference parameter estimates to optimize public sector wage contracts: A field study in Pakistan. Working Paper. UNSPECIFIED. (Submitted)

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Abstract

We use estimates of time preferences to customize incentives for polio vaccinators in Lahore, Pakistan. We measure time preferences using intertemporal allocations of effort, and use these estimates to construct individually-tailored incentives. We evaluate the effect of matching contract terms to discounting parameters in a subsequent experiment with the same vaccinators. Our tailored policy is compared to alternatives that either rely on atheoretic reduced-form relationships for policy guidance or apply the same policy to all individuals. We find that contracts tailored to individual discounting outperform this range of policy alternatives.


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Details

Item Type: Monograph (Working Paper)
Status: Submitted
Creators/Authors:
CreatorsEmailPitt UsernameORCID
Andreoni, James
Callen, Michael
Hussain, Kurrar
Khan, Muhammad Yasiryasir.khan@berkeley.edumyk17
Sprenger, Charles
Monograph Type: Working Paper
Date: 27 April 2022
Date Type: Submission
Institution: University of Pittsburgh
Schools and Programs: Dietrich School of Arts and Sciences > Economics > Economics Working Papers
Refereed: No
Uncontrolled Keywords: Structural estimation, Out-of-sample prediction, Discounting, Present Bias
Other ID: JEL D1, D3, D90
Date Deposited: 06 May 2022 17:53
Last Modified: 06 May 2022 17:53
URI: http://d-scholarship.pitt.edu/id/eprint/42936

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