Unequal pay, fairness concerns, and effort choice

Last registered on October 20, 2016
View Trial History

Pre-Trial

Trial Information

General Information

Title
Unequal pay, fairness concerns, and effort choice
RCT ID
AEARCTR-0001691
Initial registration date
October 20, 2016

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published
October 20, 2016, 12:17 PM EDT

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Locations

Country
China
Region

Primary Investigator

Name
Nick Zubanov
Affiliation
Goethe University Frankfurt
Contact Primary Investigator

Other Primary Investigator(s)

PI Name
Alex Wong Ho Lun
PI Affiliation
Lingnan University
Contact Investigator
PI Name
Zhou Xiang
PI Affiliation
Lingnan University and University of Birmingham
Contact Investigator
PI Name
Xiangdong Wei
PI Affiliation
Lingnan University
Contact Investigator

Additional Trial Information

Status
In development
Start date
2016-10-01
End date
2017-01-31
Keywords
Labor
Additional Keywords
JEL code(s)
Secondary IDs
Abstract
Will learning that someone else receives a higher pay for the same work have an effect on one's effort? Does the magnitude of this effect depend on one's fairness perceptions? To address these two questions, we will run a field experiment in which different participants will do the same data entry work for different pay rates - high and low. There will be three conditions. In the first, the participants will receive the high rate and will not know that others receive the low rate. In the second, the participants will receive the low rate without knowing of the high rate. In the third condition, the participants will receive the low rate but will learn of others receiving the high rate in a controlled way. We will measure the participants' fairness perceptions before they start working, and survey them some time after the end of the experiment, to learn more about their reactions to pay rate differences and their beliefs as to the reasons behind them. The findings from our experiment will be of interest to the literature on the effects of social comparisons.
External Link(s)

Registration Citation

Citation
Lun, Alex Wong Ho et al. 2016. "Unequal pay, fairness concerns, and effort choice." AEA RCT Registry. October 20. https://doi.org/10.1257/rct.1691-1.0
Former Citation
Lun, Alex Wong Ho et al. 2016. "Unequal pay, fairness concerns, and effort choice." AEA RCT Registry. October 20. https://www.socialscienceregistry.org/trials/1691/history/11367
Sponsors & Partners
Experimental Details

Interventions

Intervention(s)
There will be three experimental conditions. In the first, the participants will receive the high rate and will not know that others receive the low rate. In the second, the participants will receive the low rate without knowing of the high rate. In the third condition, the participants will receive the low rate but will learn of others receiving the high rate in a controlled way.
Intervention Start Date
2016-10-22
Intervention End Date
2016-10-30

Primary Outcomes

Primary Outcomes (end points)
We will measure two outcomes: 1) the average length of time it takes to enter one data point; and 2) the share of correct entries
Primary Outcomes (explanation)

Secondary Outcomes

Secondary Outcomes (end points)
Secondary Outcomes (explanation)

Experimental Design

Experimental Design
The participants will do data entry work (digitizing paper questionnaires) in groups of three or four in rooms equipped with computers. Each working session will last approximately three hours, divided into three parts: preparation, working period 1, and working period 2. We will pay the participants for three hours of work at the beginning of their session. Our intervention will take place during a short break between working periods 1 and 2. The intervention will be administered through our assistants who will bring pay slips to be signed by the participants. The participants in conditions 1 and 2 will see only their pay rates on the slip, whereas those in condition 3 will also see the rate paid to the participants in condition 1 (without personal details).
Experimental Design Details
We anticipate that the participants may share their pay information with others. To control for this, we have scheduled the condition 2 sessions first, followed by conditions 3 and 1. Ideally, we would like all conditions to be run in parallel, but we are facing a constraint on the number of available rooms.
Randomization Method
Stratified computer-aided randomization based on the participants' characteristics known before the experiment: age, gender, and study major.
Randomization Unit
A three-hour working session
Was the treatment clustered?
Yes

Experiment Characteristics

Sample size: planned number of clusters
We have booked 12 rooms for four days, three working sessions each day. So we have a total of 12*4*3=144 working sessions
Sample size: planned number of observations
528 participants
Sample size (or number of clusters) by treatment arms
6 working sessions for condition 1, 90 for condition 2, 48 for condition 3
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
Supporting Documents and Materials
IRB

Institutional Review Boards (IRBs)

IRB Name
IRB Approval Date
IRB Approval Number
Analysis Plan

Post-Trial

Post Trial Information

Study Withdrawal

There is information in this trial unavailable to the public. Use the button below to request access.

Request Information

Intervention

Is the intervention completed?
No
Data Collection Complete
Data Publication

Data Publication

Is public data available?
No

Program Files

Program Files
Reports, Papers & Other Materials

Relevant Paper(s)

Reports & Other Materials