On the Job Screening, up or out Rules, and Firm Growth
AbstractThis paper uses on-the-job screening to derive a stochastic and dynamic model of hiring, promotion, and dismissal policies, and their impact on total firm employment and output. The model provides an explanation of the up-or-out rule observed in many organizations. It also provides an explanation for a cost-of-adjustment mechanism for the stock of human capital in a firm.
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Bibliographic InfoArticle provided by Canadian Economics Association in its journal Canadian Journal of Economics.
Volume (Year): 25 (1992)
Issue (Month): 2 (May)
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Postal: Canadian Economics Association Prof. Steven Ambler, Secretary-Treasurer c/o Olivier Lebert, CEA/CJE/CPP Office C.P. 35006, 1221 Fleury Est Montréal, Québec, Canada H2C 3K4
Web page: http://economics.ca/cje/
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Other versions of this item:
- O'Flaherty, B. & Siow, A., 1989. "On The Job Screening, Up Or Out Rules, And Firm Growth," Discussion Papers 1989_02, Columbia University, Department of Economics.
- O'Flaherty, B. & Siow, A., 1990. "On the Job Screening, Up or Out Rules, and Firm Growth," University of Chicago - Economics Research Center 90-11, Chicago - Economics Research Center.
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