Modeling employees' deviant behavior and employers' reactions: an interdisciplinary approach using principal-agent and prospect theories

Article

Tziner, Aharon and Fein, Erich. 2012. "Modeling employees' deviant behavior and employers' reactions: an interdisciplinary approach using principal-agent and prospect theories." Economics and Business Letters. 1 (4), pp. 10-20.
Article Title

Modeling employees' deviant behavior and employers' reactions: an interdisciplinary approach using principal-agent and prospect theories

Article CategoryArticle
AuthorsTziner, Aharon (Author) and Fein, Erich (Author)
Journal TitleEconomics and Business Letters
Journal Citation1 (4), pp. 10-20
Number of Pages11
Year2012
Place of PublicationSpain
Abstract

In this paper we introduce mathematical models to address deviant behavior theory and practice. We examine only employee behaviors and employer reactions, but this framework is innovative and parsimonious, in that it models employer responses to employee’s behavioural deviance based on the dual application of principal-agent theory and prospect theory. After explaining the model, we examine boundary conditions and limitations and propose a series of applications to illustrate the potential usefulness of the model.

Keywordsdeviance, deviant behavior, employee economic utility, principal-agent theory, prospect theory
ANZSRC Field of Research 2020520104. Industrial and organisational psychology (incl. human factors)
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Byline AffiliationsNetanya Academic College, Israel
Central Queensland University
Institution of OriginUniversity of Southern Queensland
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