This paper studies whether dissemination of private, pre-decision signals about productivity is valuable to the principal when agents work sequentially and observe each other’s effort. The benefit of dissemination is that when productivity states are correlated, each agent’s signal is useful...

We test if firms statistically discriminate workers based on race when em- ployer learning is asymmetric. Using data from the NLSY79, we find evidence of asymmetric employer learning. In addition, employers statistically discrimi- nate against non-college educated black workers at time of...