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The Efficiency Adjusted Deferred Acceptance Matching Rule (EDA) is a promising candidate mechanism for public school assignment. A potential drawback of EDA is that it could encourage students to game the system since it is not strategy-proof. However, to successfully strategize, students...
Persistent link: https://www.econbiz.de/10013217337
Individuals use narratives as rationales or justifications to make their claims more convincing. I provide a general framework for partial verifiability based on narratives. Narratives give many reasons and arguments. The receiver derives the message's meaning by aggregating these reasons; her...
Persistent link: https://www.econbiz.de/10012824823
We analyze a competitive labor market in which workers signal their productivities through education à la Spence (1973), and firms have the option of auditing to learn workers' productivities. Audits are costly and non–contractible. We characterize the trade–offs between signaling by...
Persistent link: https://www.econbiz.de/10012898039
Different models of uncertainty aversion imply strikingly different economic behavior. The key to understanding these differences lies in the dichotomy between first-order and second-order ambiguity aversion which I define here. My definition and its characterization are independent of specific...
Persistent link: https://www.econbiz.de/10012940343
Different models of uncertainty aversion imply strikingly different economic behavior. The key to understanding these differences lies in the dichotomy between first-order and second-order ambiguity aversion which I define here. My definition and its characterization are independent of specific...
Persistent link: https://www.econbiz.de/10013014226
Consider managers evaluating their employees’ performances. Should managers justify their subjective evaluations? Suppose a manager’s evaluation is private information. Justifying her evaluation is costly but limits the principal’s scope for distorting her evaluation of the employee. I...
Persistent link: https://www.econbiz.de/10013315592
Consider managers evaluating their employees’ performances. Should managers justify their subjective evaluations? Suppose a manager’s evaluation is private information. Justifying her evaluation is costly but limits the principal’s scope for distorting her evaluation of the employee. I...
Persistent link: https://www.econbiz.de/10014176641
Is it possible to improve women's agency by providing information about their abilities? Using a lab experiment in the field, I study how perceived abilities and gender stereotypes shape intra-household dynamics. I use an incentivized decision-making game with 525 married couples from 42 rural...
Persistent link: https://www.econbiz.de/10015063437
In many markets buyers are poorly informed about which firms sell the product (product availability) and prices, and therefore have to spend time to obtain this information. In contrast, sellers typically have a better idea about which rivals offer the product. Information asymmetry between...
Persistent link: https://www.econbiz.de/10012671887
Call a mechanism that associates each profile of preferences over candidates to an ambiguous act an Ambiguous Social Function (ASCF). This paper studies the strategy-proofness of ASCFs. We find that an ASCF is unanimous and strategyproof if and only if there exists a nonempty subset of voters,...
Persistent link: https://www.econbiz.de/10012793453