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backfires as special agents extract significantly more resources. Introducing a peer punishment mechanism sustains contributions … stigmatization effect for the special agent as he receives substantially more peer punishment while contributions by other agents do … not change. Finally full transparency of all agents actions creates full accountability as it allows targeted punishment …
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The possibility of adverse selection by training firms is common theoretical argument for company-sponsored investments in general skills. The paper derives a public and a private signal after apprenticeship training and shows that training firms are able to positively select graduates they...
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