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Two sides of a finite marriage market engage in costly investment and are then matched assortatively. The purpose of the investment is solely to improve the quality of the match that trader can attain in the second stage. The paper studies the limits of equilibrium of these finite matching games...
Persistent link: https://www.econbiz.de/10004970942
Agents on the same side of a two-sided matching market (such as the marriage or labor market) compete with each other by making self-enhancing investments to improve their worth in the eyes of potential partners. Because these expenditures generally occur prior to matching, this activity has...
Persistent link: https://www.econbiz.de/10005800306
Verbindungen zwischen ähnlichen Subjekten sind ein häufig beobachtetes Phänomen. Damit solche Sortierungen in einem Suchmodell auftreten, müssen oft jedoch überraschend starke Bedingungen erfüllt sein. Diese Studie zeigt, dass ein um Signale erweitertes Suchmodell sogar vollkommene...
Persistent link: https://www.econbiz.de/10010323818
When agents do not know where to find a match, they search. However, agents could direct their search to agents who strategically choose a certain signal. Introducing cheap talk to a model of sequential search with bargaining, we find that signals will be truthful if there are mild...
Persistent link: https://www.econbiz.de/10010331117
We analyze the optimal allocation of experts to teams, where experts differ in the precision of their information, and study the assortative matching properties of the resulting assignment. The main insight is that in general it is optimal to diversify the composition of the teams, ruling out...
Persistent link: https://www.econbiz.de/10012010030
We argue that using wage data alone, it is virtually impossible to identify whether Assortative Matching between worker and firm types is positive or negative. In standard competitive matching models the wages are determined by the marginal contribution of a worker, and the marginal contribution...
Persistent link: https://www.econbiz.de/10010269035
We extend the search-matching model of the marriage market of Shimer and Smith (2000) to allow for labor supply and home production. We characterize the steadystate equilibrium when exogenous divorce is the only source of risk. We study nonparametric identification using cross-section data on...
Persistent link: https://www.econbiz.de/10010318686
In the context of the Beckerian theory of marriage, when men and women match on a single-dimensional index that is the weighted sum of their respective multivariate attributes, many papers in the literature have used linear canonical correlation, and related techniques, in order to estimate...
Persistent link: https://www.econbiz.de/10010289996
We extend the search-matching model of the marriage market of Shimer and Smith (2000) to allow for labor supply and home production. We characterize the steadystate equilibrium when exogenous divorce is the only source of risk. We study nonparametric identification using cross-section data on...
Persistent link: https://www.econbiz.de/10009715111
When agents do not know where to find a match, they search. However, agents could direct their search to agents who strategically choose a certain signal. Introducing cheap talk to a model of sequential search with bargaining, we find that signals will be truthful if there are mild...
Persistent link: https://www.econbiz.de/10010128388