EconPapers    
Economics at your fingertips  
 

Unraveling Results from Comparable Demand and Supply: An Experimental Investigation

Muriel Niederle (), Alvin Roth () and Utku Unver ()

No 15006, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Markets sometimes unravel, with offers becoming inefficiently early. Often this is attributed to competition arising from an imbalance of demand and supply, typically excess demand for workers. However this presents a puzzle, since unraveling can only occur when firms are willing to make early offers and workers are willing to accept them. We present a model and experiment in which workers' quality becomes known only in the late part of the market. However, in equilibrium, matching can occur (inefficiently) early only when there is comparable demand and supply: a surplus of applicants, but a shortage of high quality applicants.

JEL-codes: C78 C9 C92 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-exp
Date: 2009-05
Note: LS
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Published as Muriel Niederle & Alvin E. Roth & M. Utku Ãnver, 2013. "Unraveling Results from Comparable Demand and Supply: An Experimental Investigation," Games, MDPI, Open Access Journal, vol. 4(2), pages 243-282, June.

Downloads: (external link)
http://www.nber.org/papers/w15006.pdf (application/pdf)

Related works:
Journal Article: Unraveling Results from Comparable Demand and Supply: An Experimental Investigation (2013) Downloads
Working Paper: Unraveling Results from Comparable Demand and Supply: An Experimental Investigation (2008) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:15006

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w15006

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2019-10-22
Handle: RePEc:nbr:nberwo:15006