Volume 37, Number 4 (Fall) 2002

Dixit, Avinashi. 2002. "Incentives and Organizations in the Public Sector: An Interpretative Review." Journal of Human Resources 37(4):696-727.

The paper begins with a brief overview of the theory of incentives, with special attention to issues that are important in the public sector, in general and human capital in particular. It then reviews some case studies and empirical studies of incentives in the public sector, examining how these studies relate to the theory. Some implications for reform and de- sign of organizations are drawn.

Avinash Dixit is a professor of economics at Princeton University. This is a revised version of a paper presented at the National Academy of Sciences Conference, "Devising Incentives to Promote Human Capital, "Irvine, California, December 17-18, 1999. The author thanks his discussant at the conference, Bengt Holmström, a referee, and other conference participants for their comments. He also thanks the National Science Foundation for financial support of the research.


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US ISSN 0022-166X

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