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Employee's Net Performance and Compensation
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Employees will receive a compensation which depends on the Total Period Net Performance realized in the decision-making task over all periods.
Net Performance represents the final performance score of an employee for the task. Specifically, an employee’s Net Performance equals the selected project’s Realized Project Value less Total Reveal Costs and less Total Training Revisit Costs.
That means, an employee’s Net Performance in each round is given by:
Net Performance = Realized Project Value of selected project – Total Reveal Costs – Total Training Revisit Costs
The Net Performance of each of the six rounds of a period add up to the Total Period Net Performance.
An employee’s compensation is based on the Total Period Net Performance which is the total of the Net Performances over all periods. It will be converted into cash at a rate of €1 per 3000 points. This will be added to the €3 participation fee.
This means that the higher the Net Performance in every round, the higher the compensation employees will receive for today’s study.
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