Effort or timing: The effect of lump-sum bonuses

Effort or Timing: The Effect of Lump-Sum Bonuses

Lump Sum Bonuses in Union Contracts: Semantic Change or Step toward a New Wage Determination System?

* We are grateful to the many members of the MIT and Harvard economics communities who have generously provided us with insightful conversations, comments on an earlier draft of this paper and practical support. We are particularly indebted to

Factors Related to Lump Sum Bonuses: The Case of a Canadian Financial Institution

The use of lump sum bonuses as a variable pay system is increasingly popular with businesses. Used as a means to reward strong individual performances of employees, lump sum bonuses are granted according to the manager’s appraisal of the employee’s performance. The aim of this research is to ascertain whether there are factors other than individual performance that exert an influence on the gra...

Public Sector Procurement: Lump-Sum Payments or Optimal Contracts?

In a dynamic setting, we compare procurement schemes in the form of a lump-sum payment with an optimal information-revealing menu of contracts without commitment. We nd that lump-sum contracts generate two bene ts. First, they always provide optimal levels of e ort. Second, they `tie the hands' of the procurer, and avoid the ratchet e ect. These bene ts must be weighed against the costs of high...

Timing is Money: Does Lump-Sum Payment of Tax Credits Induce High-Cost Borrowing?

One important feature of the Earned Income Tax Credit (EITC) is that many families receive a large lump-sum payment when they file their taxes each year. In this paper, we use the Survey of Income and Program Participation (SIPP) wealth topical modules from 1990 to 2008 to analyze the impact of the expansions of the EITC at the federal and state level over the last twenty years on household sav...