How important are matching frictions in the labor market? Experimental & non-experimental evidence from a large Indian firm

A-Tier
Journal: Journal of Development Economics
Year: 2024
Volume: 171
Issue: C

Authors (2)

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

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

Abstract

This paper provides evidence of matching frictions in the Indian labor market. Using several methods to elicit genuine preferences of job-seekers over jobs, we show that: (a) there is substantial variation in job-seekers preferences over the same jobs; and (b) placement officers, responsible for placing job-seekers in jobs, have poor knowledge of it. Providing placement offers with this information improves matching of job-seekers to interviews, even after taking into account redistribution of jobs across job-seekers. Treated job-seekers get more preferred jobs and retain them in the short run (three months), but not in the longer run (six months).

Technical Details

RePEc Handle
repec:eee:deveco:v:171:y:2024:i:c:s0304387824000798
Journal Field
Development
Author Count
2
Added to Database
2026-01-24