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What happens when employers would like to screen their employees but only observe a subset of output? We specify a model in which heterogeneous employees respond by producing more of the observed output at the expense of the unobserved output. Though this substitution distorts output in the...
Persistent link: https://www.econbiz.de/10013334527
. Matching theory predicts that students' behavior in Chile should be strategic because they can list only up to eight options …
Persistent link: https://www.econbiz.de/10014544713
variables, such as their marginal costs, and can use prices to signal information to rivals. In a dynamic game, signaling can …We model differentiated product pricing by firms that possess private information about serially-correlated state … raise prices significantly above static complete information Nash levels even when the privately observed state variables …
Persistent link: https://www.econbiz.de/10012496143
field studies of school matching show that information is imperfect, particularly for disadvantaged students. We model …The attractive properties of the Deferred Acceptance (DA) algorithm rest on the assumption of perfect information. Yet … lower-ranked students are affected disproportionately more by information costs, generally suffering a larger welfare loss …
Persistent link: https://www.econbiz.de/10012794614
describes the malpractices of private employment agencies as a situation of asymmetric information between job seekers and the …. I show that public employment offices helped lower the degree of asymmetric information. The majority of job seekers who … migrants who were most lacking in information and networks in their new environment …
Persistent link: https://www.econbiz.de/10012464951
and 30% to education signaling workers' ability …
Persistent link: https://www.econbiz.de/10012479834
obtain higher prices by delaying trade. This paper provides some of the first evidence of a signaling mechanism through trade … information, and in cases where the originator and the issuer of mortgage-backed securities are not affiliated …
Persistent link: https://www.econbiz.de/10012453533
with frictions, such as transaction costs, asymmetric information, search and matching frictions. We discuss how such …
Persistent link: https://www.econbiz.de/10012629479
This paper explores information disclosure in matching markets, e.g., the informativeness of transcripts given out by … universities. We show that the same, "benchmark," amount of information is disclosed in essentially all equilibria. We then … demonstrate that if universities disclose the benchmark amount of information, students and employers will not find it profitable …
Persistent link: https://www.econbiz.de/10012464881
Investing in college carries high returns, but comes with considerable risk. Financial products like equity contracts can mitigate this risk, yet college is typically financed through non--dischargeable, government-backed student loans. This paper argues that adverse selection has unraveled...
Persistent link: https://www.econbiz.de/10012629434