Kräkel, Matthias; Szech, Nora; von Bieberstein, Frauke - 2013
External recruiting at least weakly improves the quality of the pool of applicants, but the incentive implications are … less clear. Using a contest model, this paper investigates the pure incentive effects of external recruiting. Our results … discouragement of low ability workers, the firm will benefit from external recruiting. If, however, the discouragement effect …