The dynamics of self-confidence are modelled in an environment where rational individuals optimally choose educations and occupations with the aim to acquire productive skills while learning about ability. It is shown how the presence of uninformative options can trap individuals below their...

How important for success on the job is uninterrupted labor force participation? Data on labor force status for a 15 year period for individual salaried employees in Swedish Industry makes possible the estimation of the effect of years of experience and years of non-experience on earnings. One...