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Why business schools do so much research: A signaling explanation

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  • Besancenot, Damien
  • Faria, Joao Ricardo
  • Vranceanu, Radu

Abstract

Criticism is mounting on business schools for their excessive focus on research and the relative neglect of teaching quality. This paper shows that if students have imperfect information about teaching quality and if business schools differ in their research productivity, the least productive schools would do as much research as the top-tier ones only to manipulate students' expectations. In turn, the most productive schools might resort to excess research in order to signal their type in the eyes of prospective students. Since resources are limited, they also tend to neglect teaching quality. Such a situation is socially inefficient as compared to the perfect information case.

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Bibliographic Info

Article provided by Elsevier in its journal Research Policy.

Volume (Year): 38 (2009)
Issue (Month): 7 (September)
Pages: 1093-1101

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Handle: RePEc:eee:respol:v:38:y:2009:i:7:p:1093-1101

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Web page: http://www.elsevier.com/locate/respol

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Keywords: Business schools Research management Research policy Research vs. teaching Signaling Imperfect information;

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References

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  1. David N. Laband & Robert D. Tollison, 2003. "Dry Holes in Economic Research," Kyklos, Wiley Blackwell, vol. 56(2), pages 161-173, 05.
  2. J. S. Armstrong, 2005. "The Devil s Advocate Responds to an MBA Student s Claim that Research Harms Learning," General Economics and Teaching 0502008, EconWPA.
  3. Besancenot, Damien & Vranceanu, Radu, 2006. "Can Incentives for Research Harm Research? A Business Schools Tale," ESSEC Working Papers DR 06003, ESSEC Research Center, ESSEC Business School.
  4. Spence, A Michael, 1973. "Job Market Signaling," The Quarterly Journal of Economics, MIT Press, vol. 87(3), pages 355-74, August.
  5. Spence, A. Michael, 2001. "Signaling in Retrospect and the Informational Structure of Markets," Nobel Prize in Economics documents 2001-6, Nobel Prize Committee.
  6. Tom Coupé, 2004. "What Do We Know about Ourselves? on the Economics of Economics," Kyklos, Wiley Blackwell, vol. 57(2), pages 197-215, 05.
  7. Besancenot, Damien & Huynh, Kim & Vranceanu, Radu, 2006. "The "Read or Write" Dilemma in Academic Production: A European Perspective," ESSEC Working Papers DR 06021, ESSEC Research Center, ESSEC Business School.
  8. Elizabeth Becker & Cotton M. Lindsay & Gary Grizzle, 2003. "The derived demand for faculty research," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 24(8), pages 549-567.
  9. Siow, Aloysius, 1997. "Some evidence on the signalling role of research in academia," Economics Letters, Elsevier, vol. 54(3), pages 271-276, July.
  10. Hendrik P. van Dalen & Arjo Klamer, 2005. "Is Science A Case of Wasteful Competition?," Kyklos, Wiley Blackwell, vol. 58(3), pages 395-414, 07.
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Citations

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Cited by:
  1. Fouad El Ouardighi & Konstantin Kogan & Radu Vranceanu, 2013. "Publish or Teach ? : Analysis of the Professor's Optimal Career Plan," Post-Print hal-00823514, HAL.
  2. Naiditch, Claire & Vranceanu, Radu, 2009. "Remittances as a Social Status Signaling Device," ESSEC Working Papers DR 09015, ESSEC Research Center, ESSEC Business School.
  3. El Ouardighi, Fouad & Kogan, Konstantin & Vranceanu, Radu, 2013. "Publish or teach? Analysis of the professor's optimal career path," Journal of Economic Dynamics and Control, Elsevier, vol. 37(10), pages 1995-2009.
  4. Carmen Anton & Nelu Florea & Silviu-Mihail Tiþã, 2012. "Comparison Of Scientific Socio-Economic Research Performances In Eastern European Universities," CES Working Papers, Centre for European Studies, Alexandru Ioan Cuza University, vol. 4, pages 636-647, December.
  5. Jellal, Mohamed & Faria, Joao & Elaoufi, Noureddine, 2012. "Endogenous dynamic academic research culture," MPRA Paper 38711, University Library of Munich, Germany.

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