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Learning by Helping: A Bounded Rationality Model of Mentoring

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Author Info

  • Arai, Mahmood

    ()
    (Dept. of Economics, Stockholm University)

  • Billot, Antoine

    (ERMES, Université Panthéon-Assas, Paris II)

  • Lanfranchi, Joseph

    (ERMES, Université Panthéon-Assas, Paris II)

Abstract

Within an organization, a bounded rational principal organizes a promotion test based on a sequence of test regarding candidates' relative performances. We assume the principal to suffer from limited ability to rank the performances, only identifying the best in each test. Furthermore, he satisfies the expected gains do not decreases whit the information generated by additional tests. Then, mentoring is shown to improve the information about candidates' ability when the principal offers help to the current best candidate provided by a manager promoted after a similar contest.

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Bibliographic Info

Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number 1999:14.

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Length: 27 pages
Date of creation: 08 Oct 1999
Date of revision:
Handle: RePEc:hhs:sunrpe:1999_0014

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Postal: Department of Economics, Stockholm, S-106 91 Stockholm, Sweden
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Web page: http://www.ne.su.se/
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Keywords: Mentoring; Selection; Contests; Bounded Rationality;

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  1. Drago, Robert & Turnbull, Geoffrey K., 1991. "Competition and cooperation in the workplace," Journal of Economic Behavior & Organization, Elsevier, vol. 15(3), pages 347-364, May.
  2. Armen A. Alchian & Harold Demsetz, 1971. "Production, Information Costs and Economic Organizations," UCLA Economics Working Papers 10A, UCLA Department of Economics.
  3. Meyer, Margaret A, 1991. "Learning from Coarse Information: Biased Contests and Career Profiles," Review of Economic Studies, Wiley Blackwell, vol. 58(1), pages 15-41, January.
  4. Laband, David N. & Piette, Michael J., 1995. "Team production in economics: division of labor or mentoring?," Labour Economics, Elsevier, vol. 2(1), pages 33-40, March.
  5. Simon, Curtis J & Warner, John T, 1992. "Matchmaker, Matchmaker: The Effect of Old Boy Networks on Job Match Quality, Earnings, and Tenure," Journal of Labor Economics, University of Chicago Press, vol. 10(3), pages 306-30, July.
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Cited by:
  1. Arai, Mahmood & Bursell, Moa & Nekby, Lena, 2008. "Between Meritocracy and Ethnic Discrimination: The Gender Difference," IZA Discussion Papers 3467, Institute for the Study of Labor (IZA).

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