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Raiding and Signaling in the Academic Labor Market


  • Timothy J. Perri


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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  • Timothy J. Perri, 2005. "Raiding and Signaling in the Academic Labor Market," Working Papers 05-21, Department of Economics, Appalachian State University.
  • Handle: RePEc:apl:wpaper:05-21

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    References listed on IDEAS

    1. Limor Golan, 2005. "Counteroffers and Efficiency in Labor Markets with Asymmetric Information," Journal of Labor Economics, University of Chicago Press, vol. 23(2), pages 373-393, April.
    2. Riley, John G, 1979. "Informational Equilibrium," Econometrica, Econometric Society, vol. 47(2), pages 331-359, March.
    3. John M. Barron & Mark C. Berger & Dan A. Black, 2006. "Selective Counteroffers," Journal of Labor Economics, University of Chicago Press, vol. 24(3), pages 385-410, July.
    4. Michael Waldman, 1984. "Job Assignments, Signalling, and Efficiency," RAND Journal of Economics, The RAND Corporation, vol. 15(2), pages 255-267, Summer.
    5. Fabien Postel-Vinay & Jean-Marc Robin, 2004. "To Match or Not to Match? Optimal Wage Policy With Endogenous Worker Search Intensity," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 7(2), pages 297-330, April.
    6. Laband, David N, 1986. "Article Popularity," Economic Inquiry, Western Economic Association International, vol. 24(1), pages 173-180, January.
    7. Banerjee, Dyuti S. & Gaston, Noel, 2004. "Labour market signalling and job turnover revisited," Labour Economics, Elsevier, vol. 11(5), pages 599-622, October.
    8. Ishida, Junichiro, 2004. "Signaling and strategically delayed promotion," Labour Economics, Elsevier, vol. 11(6), pages 687-700, December.
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