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Task allocation and on-the-job training

Author

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  • Baccara, Mariagiovanna
  • Lee, SangMok
  • Yariv, Leeat

Abstract

We study dynamic task allocation when providers' expertise evolves endogenously through training. We characterize optimal assignment protocols and compare them to discretionary procedures, where it is the clients who select their service providers. Our results indicate that welfare gains from centralization are greater when tasks arrive more rapidly, and when training technologies improve. Monitoring seniors' backlog of clients always increases welfare but may decrease training. Methodologically, we explore a matching setting with endogenous types, and illustrate useful adaptations of queueing theory techniques for such environments.

Suggested Citation

  • Baccara, Mariagiovanna & Lee, SangMok & Yariv, Leeat, 2023. "Task allocation and on-the-job training," Journal of Economic Theory, Elsevier, vol. 207(C).
    • Handle: RePEc:eee:jetheo:v:207:y:2023:i:c:s0022053122001776
    DOI: 10.1016/j.jet.2022.105587
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    References listed on IDEAS

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    Cited by:

    1. Konstantin Samouylov & Olga Dudina & Alexander Dudin, 2023. "Analysis of Multi-Server Queueing System with Flexible Priorities," Mathematics, MDPI, vol. 11(4), pages 1-22, February.

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    More about this item

    Keywords

    Dynamic matching; Training-by-doing; Market design;
    All these keywords.

    JEL classification:

    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production

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