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Does online search improve the match quality of new hires?

Author

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  • Gürtzgen, Nicole
  • Lochner, Benjamin
  • Pohlan, Laura
  • van den Berg, Gerard J.

Abstract

This paper studies the effects of the high-speed internet expansion on the match quality of new hires. We combine data on internet availability at the local level with German individual register and vacancy data. Results show that internet availability has no major impact on the stability of new matches and their wages. We confirm these findings using vacancy data, by explicitly comparing match outcomes of online and non-online recruits. Further results show that online recruiting not only raises the number of applicants and the share of unsuitable candidates per vacancy, but also induces employers to post more vacancies.

Suggested Citation

  • Gürtzgen, Nicole & Lochner, Benjamin & Pohlan, Laura & van den Berg, Gerard J., 2021. "Does online search improve the match quality of new hires?," Labour Economics, Elsevier, vol. 70(C).
    • Handle: RePEc:eee:labeco:v:70:y:2021:i:c:s0927537121000166
    DOI: 10.1016/j.labeco.2021.101981
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    Cited by:

    1. Piróg Danuta & Hibszer Adam, 2023. "Which Skills are the Most Prized? Analysing Monetary Value of Geographers’ Skills on the Labour Market in Six European Countries," Quaestiones Geographicae, Sciendo, vol. 42(4), pages 63-79, December.
    2. Sabatini, Fabio, 2023. "The Behavioral, Economic, and Political Impact of the Internet and Social Media: Empirical Challenges and Approaches," IZA Discussion Papers 16703, Institute of Labor Economics (IZA).

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    More about this item

    Keywords

    Matching; Internet; Informational friction; Recruiting channel; vacancy; wage; job duration;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • C26 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Instrumental Variables (IV) Estimation

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