The present study investigates the framing effect of tax–transfer systems on work effort decisions. We devised two theoretically equivalent treatments—the redistributive tax treatment and the redistributive transfer treatment—and studied subjects’ work effort choices in a novel public goods experiment. We found that subjects chose higher effort levels when redistribution took place via transfers than via taxes. Interestingly, the treatment effect was more pronounced among those with lower cognitive abilities and those who judged the tax–transfer system to be unfair. The results have the potential to offer insight on the debate about the extent to which taxes or transfers should be actively used for redistribution.

We study how the work effort and output of non-migrants in a village economy are affected when a member of the village population migrates. Given that individuals dislike low relative income, and that migration modifies the social space of the non-migrants, we show why and how the non-migrants adjust their work effort and output in response to the migration-generated change in their social space. When migration is negatively selective such that the least productive individual departs, the output of the non-migrants increases. While as a consequence of this migration statically calculated average productivity rises, we identify a dynamic repercussion that compounds the static one.

Drawing on affective events theory (AET) and workplace incivility spiral, this study tested a conditional process model to explain, when and how, affective workplace events (workplace ostracism and workplace incivility) affect employees’ emotions and work effort. Data for this cross-sectional study were collected via an online survey from 251 employees at three public sector universities in Quetta, Pakistan. Results indicated that both ostracism and incivility encumber work effort, and that one way via which ostracism negatively affects work effort is by provoking targets’ negative affect (NA). Results also revealed that workplace incivility exacerbated positive relationship of ostracism and NA such that this relationship was stronger when incivility was high and weaker when incivility was low. Moreover, the indirect effects of ostracism on work effort were also contingent on workplace incivility. Practical implications are discussed at the end.