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If individual abilities are imperfectly observable, statistical discrimination may affect hiring decisions. In our lab experiment, pairs of subjects solve simple mathematical problems. Subjects then hire others to perform similar tasks. Before choosing whom to hire, they receive information...
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If individual abilities are imperfectly observable, statistical discrimination may affect hiring decisions. In our lab experiment, pairs of subjects solve simple mathematical problems. Subjects then hire others to perform similar tasks. Before choosing whom to hire, they receive information...
Persistent link: https://www.econbiz.de/10012213010
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We explore in an experiment what leads to the breakdown of partnerships. Subjects are assigned a partner and participate in a repeated public good game with stochastic outcomes. They can choose each period between staying in the public project or working on their own. There is excessive exit as...
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-sharing, screening opportunities, and competition are important driving forces behind these new forms of work organization. We document … competition substantially fosters the trust strategy, reduces market segmentation, and leads to large welfare gains for both …
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