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Thank you for participating in this study!
You will receive a $4 for successfully completing this study. In this study, you will participate in a labor market in which two firms are seeking to hire one worker who will produce some output. You will assume the role of a firm in this labor market. Some participants will assume the role of Firm A, while others will assume the role of Firm B. Later, you will learn whether you will assume the role of Firm A or Firm B, and you will remain in your role for the duration of the study.
As part of this study, multiple people will be making similar decisions as you. Some people’s decisions will be selected and shown to real people acting as the worker in the labor market. If your decisions are selected to be shown to workers, then you will have the chance to earn additional compensation based on the outcomes of the labor market (described in more detail later). If your decisions are not selected to be shown to workers, then you will only receive $4 for successfully completing this study.
You will also be taking a quiz covering the information contained in these materials. So, please pay attention to the information you receive in this study.
If your decisions are selected to be shown to workers, then you will have the chance to earn a payoff from the labor market, which will be denoted in an experimental currency called Lira.
The Lira you earn during the labor market will be converted to a cash payment in the following manner. The payment rate per Lira results in $2 compensation for the participant (or participants, if tied) who earn the most Lira, and $0 for the participant (or participants, if tied) who earn the least Lira. Everyone else will receive something between $0 and $2, depending on the amount of Lira earned, resulting in an expected average compensation of $1.
Your compensation will be paid through Prolific once your submission is approved and workers make their decisions.
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