This paper provides a signaling model to analyze the equilibrium fee structures arising when attorneys are heterogeneous with regard to unobservable ability. Unlike fixed fees, contingent fees are more profitable to attorneys who have a greater probability of winning, and thus may serve as an...

This paper provides empirical evidence of favoritism by agents, where that favoritism is generated by social pressure. To do so, we explore the behavior of professional soccer referees. Referees have discretion over the addition of extra time at the end of a soccer game (called injury time), to...

We propose a theory to explain the choice between nominal and indexed labor contracts. We find that contracts should be indexed if prices are difficult to forecast and nominal otherwise. Our analysis is based on a principal-agent model developed by Jovanovic and Ueda (1997) in which...

This paper presents evidence that female researchers have 7.1 percentage points lower probability of being accepted into the largest national research support program in Uruguay than male researchers. They also have lower research productivity than their male counterparts. Differences in...

This paper explores the meaning and implications of the desire by workers for impact. We find that this impact motive can make a firm in a competitive labor market face an upward-sloping supply curve of labor, lead workers with the same characteristics but at different firms to earn different...

We analyse the extent and evolution of informality and inequality in the Serbian labour market between 2002 and 2007, using data from the Living Standard Measurement Surveys (LSMS). Two surprising results emerge. First, the level of informal employment has risen significantly over the period,...

Austria is among the very few countries in the European Union which have managed to maintain comparatively low unemployment rates and high employment rates. In international comparison Austrian unemployment is very stable over the business cycle. This is mainly due to the high sensitivity of the...

This paper explores the implications of the mismatch hypothesis in the context of the labor market using a survey on newly licensed US lawyers called the After the JD Study. Using a triple difference approach, I measure the impact of diversity quotas on marginal minority workers’ future...