How does product market competition influence whether CEOs with greater or lower levels of overconfidence are hired and whether CEOs overinvest in innovation? In a Cournot model in which firms hire a CEO to take charge of research and development (R&D) investment and production decisions, this...

In this research, I examine the presence of favoritism in promotion decisions for executives in large Korean conglomerate firms. More specifically, I test whether a promotion is more likely when an executive has an established (strong) social connection with the current supervisor who has real...

We analyze the optimal contract between a risk-averse manager and the initial shareholders in a two-period model where the manager's investment effort, carried out in period 1, and her current effort, carried out in period 2, both impact the second-period profit, so that it may be difficult to...

Using a setting in which an employer seeks information about talent in order to achieve a proper match between talent levels and tasks, we provide a comparative analysis of two performance evaluation systems widely used in practice ― an absolute performance evaluation system (APE) and a...

Employment discrimination is a multidimensional problem. In many instances, some combination of employer bias, the organization of work, and employees' responses to these conditions, leads to worker inequality. Title VII does not sufficiently account for these dynamics in two significant...

I model the strategic interaction between scientists aiming for promotion and a research institution that seeks a highly productive faculty by setting a maternity allowance in the form of a minimum promotion standard. The model shows that maternity allowances need not derive from moral justice...

Wage transparency rules arguably enable workers better to assess their contribution to firm value, allowing them to make wage demands that more accurately reflect their value for the employing firm. This paper contains a formal analysis of transparency rules and their effects on wages. We find...

There is broad but ambiguous evidence on ethnic discrimination. In particular, there is a disparity between lab and field. In order to assess a possible influence of monitoring (e.g. in an experimental setup) on discrimination we implement a recruitment setup on an online crowdsourcing...

Ensuring that firms devote sufficient resources to the reporting process is important for quality reporting. To explore the effects of resources invested in the reporting function, we use a regulatory intervention in South Korea that led to an increase in human capital invested in the reporting...

Despite gains in female representation in early career stages, large gender gaps persist atthe higher ends of the income distribution. This paper uses an experiment to study whetheraffirmative action, which has been used mainly in early career stages, could have a hiddencost. Specifically, by...