Publications signal a professor’s productivity and may lead to raids by other universities. A raided professor learns the value of non-wage benefits at a raiding university, and will quit only if benefits elsewhere are relatively high. The social value of these benefits suggests research may be efficient even in the absence of a direct social value from research. Other results are: in some cases, a school may preempt signaling by paying a higher wage, but it will only do so when signaling is inefficient; and it is inefficient for a university to commit to not match outside offers.
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Paper provided by Department of Economics, Appalachian State University in its series Working Papers with number
05-21.
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Riley, John G, 1979.
"Informational Equilibrium,"
Econometrica,
Econometric Society, vol. 47(2), pages 331-59, March.
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