Fashion Statement

B-Tier
Journal: Review of Economic Dynamics
Year: 2009
Volume: 12
Issue: 4
Pages: 668-677

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We study bilateral matching under private information about agents' characteristics. Assortative matching is the only equilibrium outcome in the absence of private information. When an information friction is present, the matching process can be improved if a payoff-irrelevant variable which we term "fashion" is introduced. Informed agents choose to adopt fashion as a signaling device. If success in matching is observed, other agents can imitate the signal. Thus, for fashion to be useful, it must constantly change. If there are more than two types of agents, both "high" and "low" fashion are needed to facilitate assortative matching. (Copyright: Elsevier)

Technical Details

RePEc Handle
repec:red:issued:07-105
Journal Field
Macro
Author Count
1
Added to Database
2026-01-25