I can't assess this research directly because its hidden in a paywalled article in the Journal of Management from last year, but the upshot is that if you monitor employees, they feel less responsibility for their own actions, and as a result, are more likely to cheat or break rules. The reason for this, suggest the authors, is that people are only partially motivated by rewards and punishments; the greater part of their motivation is based on their 'internal moral compass', though this effect exists only of people have the agency to make moral decisions on their own. There's a logic here. I do not commit murder not because I fear getting caught, but because I believe it is wrong to commit murder. The implications for education are twofold: first, it demonstrates the need to promote agency in learning environments, and second, it shows how important the development of a person's sense of agency (and hence, their own moral code) is for society as a whole.
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