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This study investigates preferences among allocation procedures available for use by those distributing rewards for individual performance in a group effort. Our first hypothesis is that allocators try to balance the payoff distribution in response to all available information about the individual members. We manipulated a target person's level of contribution to the group effort and level of financial need. Results showed a main effect for both individual characteristics, but no interaction between them, thereby supporting our hypothesis of independent additive effects. Second, we argued that group characteristics would serve only to modify the effects of the individual characteristics. We manipulated two group characteristics: morale and task outcome. As predicted, no main effects for either group level variable emerged. Further, the effect of contribution was greater under failure than success and under low than high morale. The effect of need was greater under low morale, but only for female allocators.
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