Incentives often fail in inducing economic agents to engage in a desirable activity; implementability is restricted. What restricts implementability? When does re-organization help to overcome this restriction? This paper shows that any restriction of implementability is caused by an...

When designing incentives for a manager, the trade-off between insurance and a "good" allocation of effort across various tasks is often identified with a trade-off between the responsiveness (sensitivity, precision, signal-noise ratio) of the performance measure and its similarity (congruity,...

Anonymous and unannounced site inspections known as "Mystery Shopping" (MS) are common in multi-site service firms, but little is known about the strategic importance of this practice. We conceptualize MS as a monitoring tool firms use to implement the optimal allocation of site resources...

Standard search models are unreliable for structural inference of the underlying sources ofwage inequality because they are inconsistent with observed residual wage dispersion. Weaddress this issue by modeling skill development and duration dependence in unemploymentbenefits in a random on the...

This paper addresses the question to which extent the complementarity between educationand training can be attributed to differences in observable characteristics, i.e. to individual,job and firm specific characteristics. The novelty of this paper is to analyze previouslyunconsidered...

Informality has long been a salient phenomenon in developing country labor markets, thushas been addressed in several theoretical and empirical research. Turkey, given its economicand demographic dynamics, provides rich evidence for a growing, heterogeneous andmultifaceted informal labor market....

As China exhibited unprecedented rapid economic growth ever since its reform andopenness, the development and sources of labor productivity has gradually come to theforefront. This paper studies the development and the source of labor productivity in 31Chinese provinces during the period of...

This paper analyses the impact of a change in Australia’s immigration policy, introduced inthe mid-1990s, on migrants’ probability of becoming entrepreneurs. The policy changeconsists of stricter entry requirements and restrictions to welfare entitlements. The resultsindicate that those who...

Using data on team assignment and weekly output for all weavers in an urban Chinese textilefirm between April 2003 and March 2004, this paper studies a) how randomly assignedteammates affect an individual worker’s behavior under a tournament-style incentive scheme,and b) how such effects...

This paper proposes that risk aversion encourages individuals to invest in balanced skillprofiles, making them more likely to become entrepreneurs. By not having taken this possiblelinkage into account, previous research has underestimated the impacts both of risk aversionand balanced skills on...