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When a multi-plant firm must close one unit due to declining demand it can choose between two alternatives. On the one hand, the firm can announce a certain span of time in which the plants are evaluated according to relative performance with the least performing plant being shut down in the end...
Persistent link: https://www.econbiz.de/10008547892
empirically, about the properties of charity auctions. The small theoretical literature suggests that the all-pay auction should … by the first price auction. Our design also allows us to identify differential participation as the source of the …
Persistent link: https://www.econbiz.de/10005762357
We follow Brodaty et al. (2008) and develop a model within the signalling literature where an employer decides whether … signalling effect of individual and institutional quality of study on individual horizontal match quality. First, based on a …
Persistent link: https://www.econbiz.de/10010990942
Evidence on behavior of experts in credence goods markets raises an important causality issue: Do "fair prices" induce "good behavior", or do "good experts" post "fair prices"? To answer this question we propose and test a model with three seller types: "the good" choose fair prices and behave...
Persistent link: https://www.econbiz.de/10011279266
We provide a new rationale for the use of discretionary bonuses. In a setting with unknown match qualities between a worker and a firm and subjective evaluations by the principal, bonuses are useful in order to make the feedback from the firm to the workers credible. This way workers in good...
Persistent link: https://www.econbiz.de/10010720080
This paper tests the signalling hypothesis using detailed flow-based employer-employee data from Denmark. The primary … plausible estimates of the signalling effect. It is established that the positive ability signal of being displaced due to a … previously been ignored in the empirical analysis of the signalling hypothesis such as local labour market conditions, the sector …
Persistent link: https://www.econbiz.de/10005761903