Strategic shirking in competitive labor markets: A general model of multi‐task promotion tournaments with employer learning

B-Tier
Journal: Journal of Economics & Management Strategy
Year: 2020
Volume: 29
Issue: 2
Pages: 335-376

Authors (2)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

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

Abstract

In a multitask, market‐based promotion tournament model, under different environments concerning employer learning about worker ability, it is shown that: (a) asymmetric learning in multitask jobs is a necessary condition for “strategic shirking” (i.e., underperforming on certain tasks to increase the promotion probability); (b) when learning becomes increasingly symmetric on one task, the effort allocated to that task could increase or decrease, but effort on the other task increases; (c) strategic shirking does not occur in equilibrium in single‐task models; and (d) promotions signal worker ability even when there is symmetric learning on one task, if learning is asymmetric on another.

Technical Details

RePEc Handle
repec:bla:jemstr:v:29:y:2020:i:2:p:335-376
Journal Field
Industrial Organization
Author Count
2
Added to Database
2026-01-25