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result(s) for
"Monetary Incentives"
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The Role of CEO's Personal Incentives in Driving Corporate Social Responsibility
by
Fabrizi, Michele
,
Michelon, Giovanna
,
Mallin, Christine
in
Business and Management
,
Business Ethics
,
Business structures
2014
In this study, we explore the role of Chief Executive Officers' (CEOs') incentives, split between monetary (based on both bonus compensation and changes in the value of the CEO's portfolio of stocks and options) and non-monetary (career concerns, incoming/departing CEOs, and power and entrenchment), in relation to corporate social responsibility (CSR). We base our analysis on a sample of 597 US firms over the period 2005–2009. We find that both monetary and non-monetary incentives have an effect on CSR decisions. Specifically, monetary incentives designed to align the CEO's and shareholders' interests have a negative effect on CSR and non-monetary incentives have a positive effect on CSR. The study has important implications for the design of executive remuneration (compensation) plans, as we show that there are many levers that can affect the CEO's decisions with regard to CSR. Our evidence also confirms the prominent role of the CEO in relation to CSR decisions, while also recognizing the complexity of factors affecting CSR. Finally, we propose a research design that takes into account endogeneity issues arising when examining compensation variables.
Journal Article
Multi‐band FMRI compromises detection of mesolimbic reward responses
2021
•Researchers have raised concerns about decreasing replicability of FMRI task-related findings but have not examined the potential impact of concurrent changes in scanning protocols.•Meta-analysis of studies using the monetary incentive delay task suggests that multi-band versus single-band scanning decreases effect sizes of NAcc responses during reward anticipation by over a half.•Direct within-subjects comparison of single-band versus multi-band data controlling for scanner, subject, and task indicates that multi-band scanning induces temporal noise in the center of the brain, which compromises detection of reward-related responses.•Multi-band FMRI scanning may compromise detection of mesolimbic activity during tasks and rest.
Recent innovations in Functional Magnetic Resonance Imaging (FMRI) have sped data collection by enabling simultaneous scans of neural activity in multiple brain locations, but have these innovations come at a cost? In a meta-analysis and preregistered direct comparison of original data, we examined whether acquiring FMRI data with multi-band versus single-band scanning protocols might compromise detection of mesolimbic activity during reward processing. Meta-analytic results (n = 44 studies; cumulative n = 5005 subjects) indicated that relative to single-band scans, multi-band scans showed significantly decreased effect sizes for reward anticipation in the Nucleus Accumbens (NAcc) by more than half. Direct within-subject comparison of single-band versus multi-band scanning data (multi-band factors = 4 and 8; n = 12 subjects) acquired during repeated administration of the Monetary Incentive Delay task indicated that reductions in temporal signal-to-noise ratio could account for compromised detection of task-related responses in mesolimbic regions (i.e., the NAcc). Together, these findings imply that researchers should opt for single-band over multi-band scanning protocols when probing mesolimbic responses with FMRI. The findings also have implications for inferring mesolimbic activity during related tasks and rest, for summarizing historical results, and for using neuroimaging data to track individual differences in reward-related brain activity.
Journal Article
How to motivate opinion leaders to spread e-WoM on social media: monetary vs non-monetary incentives
by
López, Manuela
,
Verlegh, Peeter W.J
,
Sicilia, Maria
in
Celebrities
,
Consumer behavior
,
Consumers
2022
PurposeOpinion leaders are increasingly important as a source of information, with consumers judging them to be more credible than other media and more influential than other consumers. Thus, companies have an interest in engaging opinion leaders to post about products and brands, and the authors analyse different incentives for encouraging them to spread the word on social media (via electronic word-of-mouth [e-WoM]).Design/methodology/approachA 2 × 3 between-subjects experimental design was developed in which 359 technological opinion leaders (bloggers) participated. The authors manipulated the monetary incentive (money vs no money) and non-monetary incentives (information only vs return product vs keep product) offered in exchange for a brand post.FindingsVarious techniques for approaching opinion leaders are effective, but to differing degrees. Providing a product free of charge increases the likelihood that opinion leaders will post about it, and the highest intention to post is observed when they are allowed to keep the product. In contrast, giving money to opinion leaders could have an indirect negative impact on their intention to post through the expected negative reaction of followers.Originality/valueIt remains unclear how opinion leaders can best be encouraged to spread e-WoM, as incentives used for consumers may work differently for opinion leaders, who have followers that they want to maintain. The main contribution of this paper lies in its explanation of why opinion leaders react differently to monetary versus non-monetary incentives.
Journal Article
A meta‐analysis of the neural substrates of monetary reward anticipation and outcome in alcohol use disorder
2023
The capacity to anticipate and detect rewarding outcomes is fundamental for the development of adaptive decision‐making and goal‐oriented behavior. Delineating the neural correlates of different stages of reward processing is imperative for understanding the neurobiological mechanism underlying alcohol use disorder (AUD). To examine the neural correlates of monetary anticipation and outcome in AUD patients, we performed two separate voxel‐wise meta‐analyses of functional neuroimaging studies, including 12 studies investigating reward anticipation and 7 studies investigating reward outcome using the monetary incentive delay task. During the anticipation stage, AUD patients displayed decreased activation in response to monetary cues in mesocortical‐limbic circuits and sensory areas, including the ventral striatum (VS), insula, hippocampus, inferior occipital gyrus, supramarginal gyrus, lingual gyrus and fusiform gyrus. During the outcome stage, AUD patients exhibited reduced activation in the dorsal striatum, VS and insula, and increased activation in the orbital frontal cortex and medial temporal area. Our findings suggest that different activation patterns are associated with nondrug rewards during different reward processing stages, potentially reflecting a changed sensitivity to monetary reward in AUD. During the anticipation stage, AUD patients displayed decreased activation to monetary cues in the mesocortical‐limbic circuits and sensory areas, including the ventral striatum (VS), insula, hippocampus, inferior occipital gyrus, supramarginal gyrus, lingual gyrus and fusiform gyrus.
Journal Article
The Neural Substrate of Reward Anticipation in Health: A Meta-Analysis of fMRI Findings in the Monetary Incentive Delay Task
2018
The monetary incentive delay task breaks down reward processing into discrete stages for fMRI analysis. Here we look at anticipation of monetary gain and loss contrasted with neutral anticipation. We meta-analysed data from 15 original whole-brain group maps (n = 346) and report extensive areas of relative activation and deactivation throughout the whole brain. For both anticipation of gain and loss we report robust activation of the striatum, activation of key nodes of the putative salience network, including anterior cingulate and anterior insula, and more complex patterns of activation and deactivation in the central executive and default networks. On between-group comparison, we found significantly greater relative deactivation in the left inferior frontal gyrus associated with incentive valence. This meta-analysis provides a robust whole-brain map of a reward anticipation network in the healthy human brain.
Journal Article
Bayesian deconvolution for computational cognitive modeling of fMRI data
by
Taylor, Charles T.
,
Howlett, Jonathon R.
,
Simmons, Alan N.
in
Adult
,
Anticipation, Psychological - physiology
,
Bayes Theorem
2025
•A new Bayesian fMRI deconvolution technique estimates parameters in cognitive models.•The technique was applied to incentive anticipation in a striatal reward region.•Striatal reward region activity reflects incentive prediction error.•A learning model which included persistent prior expectations explained striatal activity.•Parameters exhibited higher test-retest reliability than traditional fMRI indices.
A central goal of cognitive neuroscience is to make inferences about underlying cognitive processes from observable data. However, current fMRI analysis tools cannot directly estimate latent parameters in computational cognitive models from blood-oxygen-level-dependent (BOLD) signal. Here, we present a novel Bayesian deconvolution technique for full hierarchical generative cognitive modeling of fMRI timeseries data. We validated this approach by applying Bayesian deconvolution to the monetary incentive delay (MID) task to identify processes underlying incentive anticipation in a sample of 54 individuals who underwent 2 scan sessions as part of a clinical trial for anxiety and depression. Based on a series of Bayesian models, we found evidence that striatal reward region activity reflects incentive prediction error rather than raw incentive value during anticipation of monetary loss or gain. Test-retest analyses found that individual parameters estimated using a generative Bayesian learning model (including a persistent prior parameter and a β parameter representing a scaling term between prediction error and BOLD signal) were estimated more reliably than an index derived from traditional fMRI analysis (beta value for contrast between gain and no gain during anticipation). Our method holds potential for broad application to diverse neural processes and individual differences in health and disease.
Journal Article
Shared and distinct neural activity during anticipation and outcome of win and loss: A meta-analysis of the monetary incentive delay task
by
Chaudhary, Shefali
,
Chen, Yu
,
Li, Chiang-Shan R.
in
Anticipation, Psychological - physiology
,
Brain Mapping
,
Cortex (cingulate)
2022
•Win and loss anticipation both engaged the fronto-striatal-thalamic network.•Win and loss outcomes shared no regional activities.•The mOFC and dACC play distinct roles each in processing win and loss outcome•Win and loss anticipation engaged bilateral AI; loss outcome only the right AI.•Right/left AI is predominantly engaged during win/loss anticipation vs. outcome
Reward and punishment motivate decision making and behavioral changes. Numerous studies have examined regional activities during anticipation and outcome of win and loss in the monetary incentive delay task (MIDT). However, the great majority of studies reported findings of anticipation or outcome and of win or loss alone. It remains unclear how the neural correlates share and differentiate amongst these processes. We conducted an Activation Likelihood Estimation meta-analysis of 81 studies of the MIDT (5,864 subjects), including 24 published since the most recent meta-analysis, to identify and, with conjunction and subtraction, contrast regional responses to win anticipation, loss anticipation, win outcome, and loss outcome. Win and loss anticipation engaged a shared network of bilateral anterior insula (AI), striatum, thalamus, supplementary motor area (SMA), and precentral gyrus. Win and loss outcomes did not share regional activities. Win and loss outcome each engaged higher activity in medial orbitofrontal cortex (mOFC) and dorsal anterior cingulate cortex. Bilateral striatum and right occipital cortex responded to both anticipation and outcome of win, and right AI to both phases of loss. Win anticipation vs. outcome engaged higher activity in bilateral AI, striatum, SMA and precentral gyrus and right thalamus, and lower activity in bilateral mOFC and posterior cingulate cortex as well as right inferior frontal and angular gyri. Loss anticipation relative to outcome involved higher activity in bilateral striatum and left AI. These findings collectively suggest shared and distinct regional responses during monetary wins and losses. Delineating the neural correlates of these component processes may facilitate empirical research of motivated behaviors and dysfunctional approach and avoidance in psychopathology.
Journal Article
Monetary Incentive and Stock Opinions on Social Media
2019
Not only is social media a new channel to obtain financial market information, it has also become a venue for investors to share and exchange investment ideas. We examine the performance consequences of providing monetary incentive to both existing and new amateur analysts on social media and its implications for online investor communities. We find that monetary incentive is effective in increasing the amount of content output and generating more interest from the community, but it leads to neither better nor worse stock recommendations. Additional analysis suggests that monetary incentive results in wider stock and industry coverage, a sign of increased content diversity. This study contributes to the understanding of the role of monetary incentive in stimulating the sharing of value-relevant information by investors in social media communities.
Journal Article
The effect of prepaid incentives on panelists’ response across survey modes in a sequential mixed-mode design
2025
While the use of prepaid incentives and data collection in a sequential mixed-mode survey design is standard in cross-sectional and longitudinal studies, little is known about the interaction of these strategies and how this affects target persons’ survey participation. Therefore, based on a panel study, this study investigates whether such unconditional prepayments—monetary or non-monetary incentives—increase the efficiency of a sequential mixed-mode survey design in regard to boosted response rates and speed of return after receipt of an invitation to participate in a survey. While the survey design is always identical, the different incentives vary across the waves considered. Different prepayments, such as cash or in-kind incentives, have different effects on invitees’ participation in different survey modes. In particular, non-monetary incentives seem to work only in a sequential mixed-mode design, while cash, as a universal medium, always works in the expected way, across different survey modes. In sum, the study finds that when a single sequential mixed-mode design is used across panel waves the overall response rates are rather similar, even when different incentives are provided.
Journal Article
How effective are incentives in driving green behavior? Analyzing monetary and non-monetary incentives in the hospitality industry
by
Rajapakse, Vageesha
,
Dushmanthi, Nimeshika
,
Rathnayake, Nilmini
in
Compliance
,
Eco-friendly practices
,
Employee behavior
2025
This study employs a cross-sectional survey of 383 Sri Lankan hospitality employees to examine the impact of monetary and non-monetary incentives on Green Employee Behavior (GEB). Using Structural Equation Modeling (SEM), the study tested relationships between incentives and workplace sustainability actions, distinguishing between in-role and extra-role behaviors. Findings show both incentive types significantly enhance GEB. Monetary rewards, explaining 36.3% variance, primarily drive compliance with green policies, whereas non-monetary rewards exert a stronger influence on voluntary, value-driven behaviors that build long-term green culture. These results highlight the complementary role of incentives: monetary rewards secure short-term adherence, while non-monetary rewards foster sustained commitment to environmental practices. The study provides practical guidance for managers and policymakers in designing dual-incentive strategies that balance immediate compliance with enduring green engagement. By integrating such schemes, hospitality firms can reduce their environmental footprint and align with broader sustainability goals. Beyond managerial implications, the study adds to the growing literature on workplace sustainability by empirically demonstrating how incentive structures distinctly shape in-role and extra-role green behaviors. This evidence emphasizes the importance of tailoring incentive programs to nurture both compliance and proactive contributions to organizational sustainability.
Journal Article