Thursday, May 26, 2016

(Non-)monetary incentives and the meaning of work

 Excerpts from: link here


"Several findings in the recent economics and psychology literature document that workers and employees don’t care only about earning (more) money in their job, but that other, non-monetary motives play a similarly important role at the workplace."

 "One possible explanation for this finding is image-motivation theory (Bénabou and Tirole 2006). To see this, suppose that both recognition and work meaning provide positive (social) image value. That is, if a worker is publicly recognised by the organisation for his performance, his or her social image increases. Similarly for meaning – if a worker works on a meaningful task, this raises his social image."

I thought it would be interesting for everyone to weigh in on a topic that is so relevant to our lives.

Feel free to comment on the article itself and/or the psychology behind the reasoning, or give your own take on the subject.

For your first job out of college, which is more important, a job that pays well, or a job that makes you feel good?

Does capitalism allow for all people to have both well-paying and satisfying jobs, or is this a fantasy?

6 comments:

  1. I find this article very interesting and relevant to our society today and I think that the role of name recognition and credit has been increasing over time and can lead to a larger future salary. For example in the science world, many masters students do not paid for the research they do (for their thesis), however they are almost guaranteed to be published in their research paper. If the paper happens to be very successful and many other programs and people see it, it could dramatically help them get a better job with a higher salary since their name has been published. Therefore I think that part of the reason people like to work on meaningful tasks is for future benefits and to build their name recognition.

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  2. It is very difficult to measure non quantifiable benefits of certain jobs. I am sure they play a role in a worker's happiness but there is no true way to measure it. Regardless, if your interests align with what sorts of jobs are preferred in the labor force then you will be content. For example, computer programmers are in rising demand. If you enjoy this subject, then you are content with your job prospects. However, if one enjoys subjects that are less in demand such as religion, arts, etc etc. then they might not be as happy with their pay.

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    1. I think Kenny sums it up pretty well. It really depends on the person I think. For most people though I think recognition and value of work will play at least some role in their contentness with their job. Money is still very important, but it isn't everything.

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  3. I don't expect to find a perfect job that pays me well and makes me feel good right after graduation. I have a big picture of what I want to do, but as of now, I'm still searching for something that interests me more than well-paid jobs.

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  4. I think that to some extent high-paying jobs are often that way to make up for how miserable they are. Being a low level investment banker is one of the least liked jobs, but it makes a great deal of money (especially for someone just leaving college). You need to offer more because of a lack of non-monetary benefits. If that really is part of how they determine salaries, than high paying jobs that are also extremely satisfying would be a little contradictory.

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  5. People value and prioritize different things in their occupations; that priority could be higher salary, social recognition, or contributing to the society. I think if one can find a job that they can be an expert in the field, or one they are good at, higher salary will follow along with social recognition. But my goal is to find something I can fully enjoy with in that social recognition and salary can come along with. I hope that the career I plan to pursue after graduation will meet those needs.

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