Nienke Boderie

Chapter 9 294 Figure 3: Mean earnings (in cents) by assignment arm, payment condition and incentive scheme Payment conditions Figure 3 shows the mean earnings per payment condition, separated by assignment arms and incentive scheme. Perhaps unsurprisingly, the proportions of respondents completing the slider task differed between payment condition, such that it was highest for the high payment condition and lowest for the low condition. When looking at the effect of payment condition on persistence, we find some evidence for differences in persistence between payment condition. That is, respondents in the low (€8), medium (€12) and high (€20) payment condition completed 235, 273, 315 out of 400 sliders, earning €6.10, €8.83, and €16.01 respectively (see Appendix C in the online Supplements for a figure that shows the amount of sliders completed across all subgroups in the experiment). Given that the total monetary amount available might influence persistence of respondents, we included payment condition as a control variable in a set of regression analyses investigating differences in persistence and earnings in different subsets of the sample. Table 4 also shows the effect of payment condition across different specifications. It appears that the high (€20) payment condition generally yielded higher effort and earnings, whereas the significance of medium (€12) payment condition depended on model specification.

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