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The same was not true for money received through other sources. In a second study, 71 students from a large Canadian university were shown how to make origami paper planes and given five minutes to make as many as they could.
Some participants were told they had received the money randomly; others were told they received it based on their work. Afterwards, participants were asked questions about how valuable money was to them.
The third study involved 41 students from a large Canadian university, also asked to make the paper airplanes. Those who believed they received money based on the quality of their work subsequently created significantly more planes than those who believed the money was randomly awarded.
Pfeffer said the three studies make one point: Money that comes from the work we do makes that money more important to us. Understanding that might help explain why increasing numbers of top executives are receiving outsize compensation packages. Taxing enormous compensation packages at a higher rate would create a disincentive for the payouts and might slow the compensation rat race.
This research also has implications for rank-and-file compensation. This research paper is available only to users accessing the document from a network of a university on the Digital Commons Network. Skip to main content.
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The importance we place on money affects our lives in myriad ways, from where we live to the kind of job we choose to the amount of time we spend on work or leisure.
Now, new research from Jeffrey Pfeffera professor of organizational behavior at Stanford Graduate School of Business, may shed some light on why money can be addictive and research paper money that addiction may be contributing to increasingly high CEO compensation packages.
And the more money paid for each hour of work, the more important that money becomes.
In a interview with Fortune magazine, Vasella said: Pfeffer saw that quote again a few years ago, and it got him and his research paper money colleagues thinking that not only does money have an ability to fulfill real needs — such as law papers online food, shelter, and clothing — research paper money also it signals worth and competence.
People generally believe their pay level communicates how much an organization values them. To test their theory, the researchers examined the effect of changes in the amount of money received on changes in the importance of money over time.