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Drawing on revisionist economics to explain the inspirational dimension of leadership |
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| Institution: | 1. Department of Basic and Clinical Neuroscience, Institute of Psychiatry, Psychology and Neuroscience, King’s College London, London, United Kingdom;2. INEUROPA (Instituto de Neurociencias del Principado de Asturias), Oviedo, Spain;3. Área de Tecnología Electrónica de la Universidad de Oviedo, Gijon, Spain;4. Grupo de Electrónica para la Innovación Industrial, Gijon, Spain;5. Laboratory of Neuroscience, Department of Psychology, University of Oviedo, Asturias, Spain |
| Abstract: | Hermalin’s (1998) model of leadership by example makes leadership amenable to conventional economic analysis by excluding the possibility that leader rhetoric can have an inspirational effect that induces followers to increase the effort they exert in team situations. This effect is also ignored by Casson (1991) who demonstrates that leader rhetoric can reduce opportunism through the moral manipulation of shame and guilt. The general propositions that Elster (1998) advanced with regard to the relationship between the emotions and decision making are applied in a theory which explains the inspirational dimension of leadership in terms of the way leaders rhetoric strengthens the hopes and counters the disappointments of followers. |
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