production more efficiently. Consistent with this framework, we show that growth and turnover are both higher for managers, and … capacities. However, most hiring is external, especially for managers. …

We propose a theory that emphasizes the role of managers for the production and allocation of human capital in firms …. Managers invest time to train junior employees, and acquire information about the juniors' abilities that is valuable for job … assignments. This dual role of managers matters especially in a multidivisional firm, whose internal labor market may be …