Showing 1 - 10 of 194
Arguably the fundamental problem faced by employers is how to elicit effort from employees. Most models suggest that employers meet this challenge by monitoring employees carefully to prevent shirking. But there is another option that relies on heterogeneity across employees, and that is to...
Persistent link: https://www.econbiz.de/10012466598
Digital platforms like Uber can enhance market transparency and mitigate moral hazard via ratings of buyers and sellers …
Persistent link: https://www.econbiz.de/10012480668
We characterize the price-transparency role of benchmarks in over-the-counter markets. A benchmark can, under … dealers and customers, and reducing search costs. Although the market transparency promoted by benchmarks reduces dealers …
Persistent link: https://www.econbiz.de/10012458045
Medical provider price transparency is often touted as a way to lower health care spending. But the impact of price … transparency is theoretically ambiguous: it could lower health care spending via increased consumer price shopping or improved … a randomized-controlled trial to examine the impact of a state-wide medical charge transparency tool in outpatient …
Persistent link: https://www.econbiz.de/10014576609
This paper is concerned with three types of incentive programs. First, individual wage incentives that cause a worker's efforts to have a major effect on his pay. Second, group incentives in which the pay of an individual is determined by the output of a group of workers-a group can be as small...
Persistent link: https://www.econbiz.de/10012476876
Large and persistent differences across industries in wages paid for given occupations have commonly been observed. Recently, the efficiency wage model (EWM) has been advanced as an explanation for these wage differentials. The shirking version of the EWM assumes a trade-off between...
Persistent link: https://www.econbiz.de/10012476894
In three sets of experiments involving over 4,200 subjects, we show that agents motivated to be selfish make systematic decision errors of the kind generally attributed to cognitive limitations or behavioral biases. We show that these decision errors are eliminated (or dramatically reduced) when...
Persistent link: https://www.econbiz.de/10012480539
We construct a structural model of entry into self-employment to evaluate the impact of policies supporting entrepreneurship. Previous work has recognized that workers may opt for self-employment due to the non-pecuniary benefits of running a business and not necessarily because they are good at...
Persistent link: https://www.econbiz.de/10012480659
This paper examines the role of educational expectations in the educational attainment process. We utilize data from a variety of datasets to document and analyze the trends in educational expectations between the mid-1970s and the early 2000s. We focus on differences across racial/ethnic and...
Persistent link: https://www.econbiz.de/10012462969
The paper analyzes the effect of the generosity of the welfare state on the skill composition of immigrants. We develop a parsimonious model in which the effect of an increase in the generosity (and taxes) of the welfare state on the skill composition of immigrants under free migration is...
Persistent link: https://www.econbiz.de/10012464188