Dariel, Aurelie; Riedl, Arno; Siegenthaler, Simon - 2019
, do firms use employee referrals when there are social ties between a current employee and a future employee? Second, does … the existence of social ties and hiring through employee referrals indeed alleviate adverse selection relative to when … employee referrals, hiring decisions fall short of the (second-best) efficient outcome. We identify risk aversion as a …