Sorting expertise

A-Tier
Journal: Journal of Economic Theory
Year: 2022
Volume: 204
Issue: C

Authors (2)

Kaya, Ayça (University of Miami) Vereshchagina, Galina (not in RePEc)

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

We analyze the optimal sorting of experts who differ in their ability to acquire information, into production teams. Once a team is formed, experts individually acquire information about the joint project, communicate the information they acquired, and then engage in team production. Misalignment of preferences at the production stage creates incentives for belief manipulation at the communication stage. We show that the cost associated with misaligned incentives is minimized if experts of similar abilities are placed in the same team. Consequently, surplus maximization may lead to non-diversified teams, even if in the absence of misaligned incentives optimal sorting is negative assortative. Thus, our analysis provides a novel rationale for creation of non-diversified teams of experts.

Technical Details

RePEc Handle
repec:eee:jetheo:v:204:y:2022:i:c:s0022053122000874
Journal Field
Theory
Author Count
2
Added to Database
2026-01-25