The speed of employer learning and job market signalling revisited

Steffen Habermalz

Applied Economics Letters, 2011, vol. 18, issue 7, 607-610

Abstract: This article discusses the claim made by Altonji and Pierret (AP) (1997) and Lange (2007) that a high Speed of Employer Learning (SEL) indicates a low value of Job Market Signalling (JMS). It is first discussed intuitively in the light of Spence's original model and then evaluated in a simple extension of a model developed by AP (1997). The analysis provided indicates that, if Employer Learning (EL) is incomplete, a high SEL is not necessarily indicative of a low value of JMS.

Date: 2011
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Working Paper: The Speed of Employer Learning and Job Market Signaling Revisited (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:taf:apeclt:v:18:y:2011:i:7:p:607-610

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DOI: 10.1080/13504851.2010.482514

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