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Title: The Big Carrot: High Stake Incentives Revisited

Author(s): Pablo Brañas-Garza, Teresa García-Muñoz and Shoshana Neuman

Publication Date: January 2008

Keyword(s): carrot/stick, Economics of Religion, high stakes, punishment and rewards

Programme Area(s): Labour Economics

Abstract: This paper provides an empirical demonstration of high stakes incentives in relation to religious practice. It shows that, when both positive (carrot) and negative (stick) incentives are available, the former are more effective than the latter. Specifically, it is shown that beliefs in heaven are much more relevant than beliefs in hell when estimating the production of religious commodities (church-attendance and praying equations).

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Bibliographic Reference

Brañas-Garza, P, García-Muñoz, T and Neuman, S. 2008. 'The Big Carrot: High Stake Incentives Revisited'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=6666