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We study the volunteer's dilemma in environments with heterogeneous preferences and private information. We characterize the efficiency properties of equilibrium, which is a departure from all the previous literature that focuses only on the probability of group success. While the probability of...
Persistent link: https://www.econbiz.de/10015072940
Using data from South Asia, this paper examines how arranged marriage cultivates rivalry among sisters. During marriage … search, parents with multiple daughters reduce the reservation quality for an older daughter's groom, rushing her marriage to …'s marriage risk; relative to younger singleton sisters, younger twin sisters have the same effect. These effects intensify in …
Persistent link: https://www.econbiz.de/10012460344
between trading firms, the presence of positive assortative matching among firms, and their evolution during the business …
Persistent link: https://www.econbiz.de/10014512101
among partners' skills in match output? We develop a matching model in which risk-averse agents, who differ in skills, match … that under plausible assumptions the risk-sharing benefit of marriage tends to push toward negative sorting on partners …' skills. To obtain the prediction of positive skill sorting--a robust empirical feature of marriage markets--this force needs …
Persistent link: https://www.econbiz.de/10014468251
We propose a new sorting framework: composite sorting. Composite sorting comprises of (1) distinct worker types assigned to the same occupation, and (2) a given worker type simultaneously being part of both positive and negative sorting. Composite sorting arises when fixed investments mitigate...
Persistent link: https://www.econbiz.de/10014372413
Are labor markets in higher-income countries more meritocratic, in the sense that worker-job matching is based on … the role of worker-job matching in development accounting, we build an equilibrium matching model that allows for cross … determine match feasibility; (ii) technology, which determines the returns to matching; and (iii) idiosyncratic matching …
Persistent link: https://www.econbiz.de/10014528414
Discretionary policymaking can foster strategic complementarities between private sector decisions, thus leading to multiple equilibria. This article studies a simple example, originating with Kydland and Prescott, of a government which must decide whether to build a dam to prevent adverse...
Persistent link: https://www.econbiz.de/10012466593
Social distancing via shelter-in-place strategies, and wearing masks, have emerged as the most effective non-pharmaceutical ways of combatting COVID-19. In the United States, choices about these policies are made by individual states. We develop a game-theoretic model and then test it...
Persistent link: https://www.econbiz.de/10012496132
object that drives decisions in most matching models of the labor market. In this paper, we develop a theory-based empirical …
Persistent link: https://www.econbiz.de/10012482620
Search theory suggests that early career job changes on balance lead to better matches that benefit both workers and firms, but this may not hold in teacher labor markets characterized by salary rigidities, barriers to entry, and substantial differences in working conditions that are difficult...
Persistent link: https://www.econbiz.de/10012462834