We examine experimentally how Chief Executive Officers (CEOs) respond to incentives and how they provide incentives in situations requiring trust and trustworthiness.As a control we compare the behavior of CEOs with the behavior of students....

Using a unique sample of new Ph.D. economists in 1987 and 1997, we examine how jobseekers and their employers alter their search strategies in strong versus weak markets. The 1987academic market was strong while the 1997 market was much weaker. A multimarket theory ofoptimal search suggests that...