Educational Expansion and Persistent Inequalities of Education: Utilizing the Subjective Expected Utility Theory to Explain the Increasing Participation Rates in Upper Secondary School in the Federal Republic Of Germany

This investigation attempts to answer the question why more and more parents have chosen the Gymnasium for their children's secondary school education in post‐war West Germany. Based on the theory of subjective expected utility, the crucial mechanisms of parental educational decisions have been emphasized. From this perspective it is assumed that increasing educational motivation coupled with changes in the subjective evaluation of the cost–benefit of education were important conditions for an increasing participation in upper secondary schools. These were, however, in turn, the result of educational expansion. The empirical analyses for three time‐periods in the 1960s, 1970s, and 1980s confirm these assumptions to a large degree. Additionally, empirical evidence was found to suggest that in addition to the intentions of parents and the educational career of their children, structural moments of educational expansion and their own inertia played an important role in the pupils' transition from one educational level to the next. Finally, evidence was found that persistent class‐specific educational inequality stems from a constant balance in the relative cost–benefit advantages between social classes as well as from an increasing difference of primary origin effect between social classes in the realization of their educational choice.

Explicit mathematics and operational set theory: some ontological comparisons

We discuss several ontological properties of explicit mathematics and operational set theory: global choice, decidable classes, totality and extensionality of operations, function spaces, class and set formation via formulas that contain the definedness predicate and applications.

Career-choice readiness in adolescence: Developmental trajectories and individual differences

Developing career-choice readiness is an important task in adolescence, but current theory and research has provided a rather static view of the phenomenon. The present study investigated the development of career-choice readiness among a group of 325 Swiss students assessed four times every 5 months from seventh through eighth grade. A variable-centered approach applying latent curve modeling showed not only a linear increase of readiness over time but also significant inter-individual differences in the level and development of readiness. Higher levels were predicted by more self-esteem and generalized self-efficacy and fewer perceived barriers while increase in readiness was predicted by increase in occupational information. A person-centered approach applying latent class-growth analysis identified four distinct developmental trajectories: high-increasing (42%), high-decreasing (5%), moderate-increasing (42%), and constantly low (11%). Students with different trajectories showed significant differences in core self-evaluations, occupational knowledge, and barriers. The results suggest that environmental demands promote a developmental trend in readiness development that overrules individual differences for the majority of students. Individual differences affect the level of readiness to a greater extent than the process of its development. Career information seems pivotal for readiness increase.

Essays on behavioral aspects of the design and disclosure of compensation contracts

This thesis consists of four essays on the design and disclosure of compensation contracts. Essays 1, 2 and 3 focus on behavioral aspects of mandatory compensation disclosure rules and of contract negotiations in agency relationships. The three experimental studies develop psychology- based theory and present results that deviate from standard economic predictions. Furthermore, the results of Essay 1 and 2 also have implications for firms’ discretion in how to communicate their top management’s incentives to the capital market. Essay 4 analyzes the role of fairness perceptions for the evaluation of executive compensation. For this purpose, two surveys targeting representative eligible voters as well as investment professionals were conducted. Essay 1 investigates the role of the detailed ‘Compensation Discussion and Analysis’, which is part of the Security and Exchange Commission’s 2006 regulation, on investors’ evaluations of executive performance. Compensation disclosure complying with this regulation clarifies the relationship between realized reported compensation and the underlying performance measures and their target achievement levels. The experimental findings suggest that the salient presentation of executives’ incentives inherent in the ‘Compensation Discussion and Analysis’ makes investors’ performance evaluations less outcome dependent. Therefore, investors’ judgment and investment decisions might be less affected by noisy environmental factors that drive financial performance. The results also suggest that fairness perceptions of compensation contracts are essential for investors’ performance evaluations in that more transparent disclosure increases the perceived fairness of compensation and the performance evaluation of managers who are not responsible for a bad financial performance. These results have important practical implications as firms might choose to communicate their top management’s incentive compensation more transparently in order to benefit from less volatile expectations about their future performance. Similar to the first experiment, the experiment described in Essay 2 addresses the question of more transparent compensation disclosure. However, other than the first experiment, the second experiment does not analyze the effect of a more salient presentation of contract information but the informational effect of contract information itself. For this purpose, the experiment tests two conditions in which the assessment of the compensation contracts’ incentive compatibility, which determines executive effort, is either possible or not. On the one hand, the results suggest that the quality of investors’ expectations about executive effort is improved, but on the other hand investors might over-adjust their prior expectations about executive effort if being confronted with an unexpected financial performance and under-adjust if the financial performance confirms their prior expectations. Therefore, in the experiment, more transparent compensation disclosure does not lead to more correct overall judgments of executive effort and to even lower processing quality of outcome information. These results add to the literature on disclosure which predominantly advocates more transparency. The findings of the experiment however, identify decreased information processing quality as a relevant disclosure cost category. Firms might therefore carefully evaluate the additional costs and benefits of more transparent compensation disclosure. Together with the results from the experiment in Essay 1, the two experiments on compensation disclosure imply that firms should rather focus on their discretion how to present their compensation disclosure to benefit from investors’ improved fairness perceptions and their spill-over on performance evaluation. Essay 3 studies the behavioral effects of contextual factors in recruitment processes that do not affect the employer’s or the applicant’s bargaining power from a standard economic perspective. In particular, the experiment studies two common characteristics of recruitment processes: Pre-contractual competition among job applicants and job applicants’ non-binding effort announcements as they might be made during job interviews. Despite the standard economic irrelevance of these factors, the experiment develops theory regarding the behavioral effects on employees’ subsequent effort provision and the employers’ contract design choices. The experimental findings largely support the predictions. More specifically, the results suggest that firms can benefit from increased effort and, therefore, may generate higher profits. Further, firms may seize a larger share of the employment relationship’s profit by highlighting the competitive aspects of the recruitment process and by requiring applicants to make announcements about their future effort. Finally, Essay 4 studies the role of fairness perceptions for the public evaluation of executive compensation. Although economic criteria for the design of incentive compensation generally do not make restrictive recommendations with regard to the amount of compensation, fairness perceptions might be relevant from the perspective of firms and standard setters. This is because behavioral theory has identified fairness as an important determinant of individuals’ judgment and decisions. However, although fairness concerns about executive compensation are often stated in the popular media and even in the literature, evidence on the meaning of fairness in the context of executive compensation is scarce and ambiguous. In order to inform practitioners and standard setters whether fairness concerns are exclusive to non-professionals or relevant for investment professionals as well, the two surveys presented in Essay 4 aim to find commonalities in the opinions of representative eligible voters and investments professionals. The results suggest that fairness is an important criterion for both groups. Especially, exposure to risk in the form of the variable compensation share is an important criterion shared by both groups. The higher the assumed variable share, the higher is the compensation amount to be perceived as fair. However, to a large extent, opinions on executive compensation depend on personality characteristics, and to some extent, investment professionals’ perceptions deviate systematically from those of non-professionals. The findings imply that firms might benefit from emphasizing the riskiness of their managers’ variable pay components and, therefore, the findings are also in line with those of Essay 1.

The relation of secondary student's career choice readiness to a six-phase model of career decision-making

Based on common aspects of recent models of career decision-making (CDM) a sixphase model of CDM for secondary students is presented and empirically evaluated. The study tested the hypothesis that students who are in later phases possess more career choice readiness and consider different numbers of career alternatives. 266 Swiss secondary students completed measures tapping phase of CDM, career choice readiness, and number of considered career options. Career choice readiness showed an increase with phase of CDM. Later phases were generally associated with a larger increase in career choice readiness. Number of considered career options showed a curve-linear development with fewer options considered at the beginning and at the end of the process. Male students showed a larger variability in their distribution among the process with more male than female students in the first and last phase of the process. Implications for theory and practice are presented.

Holland's secondary constructs of vocational interests and career choice readiness of secondary students

The study examined the relationship between the secondary constructs of Holland’s (1997) theory of vocational interests and career choice readiness [career maturity] attitudes with 358 Swiss secondary students. The hypothesis was tested that the secondary constructs consistency, coherence, differentiation, and congruence are measures for the degree of vocational interest development. Thus, they should belong to the content domain in career choice readiness and should show meaningful relations to career choice readiness attitudes. The hypothesis was confirmed for congruence, coherence, and differentiation. Interest profile consistency showed no relation to career choice readiness attitudes. Vocational identity emerged as a direct measure for career choice readiness attitudes. Realism of career aspirations was related to career choice readiness attitudes and coherence of career aspirations. Profile elevation was positively connected to more career planning and career exploration. Differences between gender, ethnicity, and school-types are presented. Implications for career counselling and assessment practice are discussed.

Public service motivation and rational choice modeling

While most previous research has considered public service motivation (PSM) as the only motivational factor predicting (public) job choice, the authors present a novel, rational choice-based model which includes three motivational dimensions: extrinsic, enjoyment-based intrinsic and prosocial intrinsic. Besides providing more accurate person-job fit predictions, this new approach fills a significant research gap and facilitates future theory building.

The effect of male coloration on female mate choice in closely related Lake Victoria cichlids (Haplochromis nyererei complex)

We studied the effect of male coloration on interspeciÆc female mate choice in two closely related species of haplochromine cichlids from Lake Victoria. The species differ primarily in male coloration. Males of one species are red, those of the other are blue. We re- corded the behavioral responses of females to males of both species in paired male trials under white light and under monochromatic light, under which the interspecific differences in coloration were masked. Females of both species exhibited species-assortative mate choice when colour differences were visible, but chose non-assortatively when colour differences were masked by light conditions. Neither male behaviour nor overall female response frequencies differed between light treatments. That female preferences could be altered by manipulating the perceived colour pattern implies that the colour itself is used in interspecific mate choice, rather than other characters. Hence, male coloration in haplochromine cichlids does underlie sexual selection by direct mate choice, involving the capacity for individual assessment of potential mates by the female. Females of both species responded more frequently to blue males under monochromatic light. Blue males were larger and displayed more than red males. This implies a hierarchy of choice criteria. Females may use male display rates, size, or both when colour is unavailable. Where available, colour has gained dominance over other criteria. This may explain rapid speciation by sexual selection on male coloration, as proposed in a recent mathematical model.

A common mechanism underlying food choice and social decisions

People make numerous decisions every day including perceptual decisions such as walking through a crowd, decisions over primary rewards such as what to eat, and social decisions that require balancing own and others’ benefits. The unifying principles behind choices in various domains are, however, still not well understood. Mathematical models that describe choice behavior in specific contexts have provided important insights into the computations that may underlie decision making in the brain. However, a critical and largely unanswered question is whether these models generalize from one choice context to another. Here we show that a model adapted from the perceptual decision-making domain and estimated on choices over food rewards accurately predicts choices and reaction times in four independent sets of subjects making social decisions. The robustness of the model across domains provides behavioral evidence for a common decision-making process in perceptual, primary reward, and social decision making.

Disentangling mental imagery and perceptual expectation

Mental imagery and perception are thought to rely on similar neural circuits, and many recent behavioral studies have attempted to demonstrate interactions between actual physical stimulation and sensory imagery in the corresponding sensory modality. However, there has been a lack of theoretical understanding of the nature of these interactions, and both interferential and facilitatory effects have been found. Facilitatory effects appear strikingly similar to those that arise due to experimental manipulations of expectation. Using a self-motion discrimination task, we try to disentangle the effects of mental imagery from those of expectation by using a hierarchical drift diffusion model to investigate both choice data and response times. Manipulations of expectation are reasonably well understood in terms of their selective influence on parameters of the drift diffusion model, and in this study, we make the first attempt to similarly characterize the effects of mental imagery. We investigate mental imagery within the computational framework of control theory and state estimation. • Mental imagery and perception are thought to rely on similar neural circuits; however, on more theoretical grounds, imagery seems to be closely related to the output of forward models (sensory predictions). • We reanalyzed data from a study of imagined self-motion. • Bayesian modeling of response times may allow us to disentangle the effects of mental imagery on behavior from other cognitive (top-down) effects, such as expectation.

Founder, Academic, or Employee? A Nuanced Study of Career Choice Intentions

We add novel insights to the debate about why individuals choose to start their own firm by comparing entrepreneurial intentions to the intentions to work at a university as an academic and to be employed in a private firm. To model this more complex set of career choices, we examine novel multiplicative aspects of the theory of planned behavior (TPB) and test our hypotheses on survey data of 15,866 students from 13 European countries. Multinomial logistic regression analyses reveal how the different TPB elements influence career preferences and demonstrate the moderating effects of perceived controllability and desirability.

Should I Stay or Should I Go? Career Choice Intentions of Students with Family Business Background

Personal and motivational patterns of intentional founders have been researched in great depth; however, antecedents to career choices of intentional successors have been conspicuously missing in entrepreneurship research. By drawing on theory of planned behavior, we investigate how intentional founders, successors, and employees differ in terms of locus of control and entrepreneurial self-efficacy as well as independence and innovation motives. We find that transitive likelihood of career intent depends on degree of entrepreneurial self-efficacy and the independence motive. Unexpectedly, we see that high levels of internal locus of control lead to a preference of employment, which challenges traditional entrepreneurship research and suggests that the feasibility of an entrepreneurial career path does not automatically make it desirable. Our findings suggest that students with family business background are pessimistic about being in control in an entrepreneurial career, but optimistic about their efficacy to pursue an entrepreneurial career.