Another important problem is what economists call adverse selection. For example, in New York law firms, associates work excessive hours to prove that they are fit to be partners. Each has an incentive to work longer than anyone else to signal his commitment. But they would mostly prefer to work fewer hours (for less pay) if others did the same (Landers et al. 1996, table 7). In law and finance especially, this signalling issue fuels a macho culture of work.
Interesting excerpts from the book 'Hapiness'
