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As a first step towards understanding the evolution of small groups in firms, this paper develops and tests a simple decision-theoretical model of research-unit evolution in which, as managers resolve their uncertainty over time, they shut down under-performing units and remove under-performing...
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have to be scheduled such that each team plays exactly once against each other team and such that each team plays exactly …, the goal is to avoid a team playing against extremely weak or extremely strong teams in consecutive periods. We propose …
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also provides a novel microfoundation for peer effects, with empirical implications for welfare and different education …
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