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We develop an analytically tractable model featuring heterogeneous workers and firms, where labor markets clear through a one-to-many sorting mechanism. Firms determine both the number and composition of their employees, shaping (1) the…

Theoretical Economics · Economics 2026-03-11 Paweł Gola , Haozhou Tang

Segregation encodes information about society, such as social cohesion, mixing, and inequality. However, most past and current studies tackled socioeconomic (SE) segregation by analyzing static aggregated mobility networks, often without…

We develop a distribution regression model under endogenous sample selection. This model is a semi-parametric generalization of the Heckman selection model. It accommodates much richer effects of the covariates on outcome distribution and…

Econometrics · Economics 2023-12-19 Victor Chernozhukov , Iván Fernández-Val , Siyi Luo

Many policy evaluations involve vectors of category-specific quantities, either categorical outcomes (e.g., employment type, major choice) or compositional measures (e.g., GDP by sector, votes by party, electricity generation by source). In…

Econometrics · Economics 2026-02-19 Onil Boussim

The occurrence of discrimination is an important problem in the social and economical sciences. Much of the discrimination observed in empirical studies can be explained by the theory of in-group favoritism, which states that people tend to…

Physics and Society · Physics 2019-03-15 Gorm Gruner Jensen , Stefan Bornholdt

We offer a search-theoretic model of statistical discrimination, in which firms treat identical groups unequally based on their occupational choices. The model admits symmetric equilibria in which the group characteristic is ignored, but…

Theoretical Economics · Economics 2020-04-27 Jiadong Gu , Peter Norman

Why do some national music markets sustain a rich musical diversity whereas others converge on mostly formulaic output? The existing models of cultural consumption (superstar economics, rational addiction, Bayesian social learning) each…

Computers and Society · Computer Science 2026-04-24 Fabio Lokwani Di Matteo , Pier Luigi Sacco

It is known that individuals in social networks tend to exhibit homophily (a.k.a. assortative mixing) in their social ties, which implies that they prefer bonding with others of their own kind. But what are the reasons for this phenomenon?…

Social and Information Networks · Computer Science 2017-03-28 Chen Avin , Hadassa Daltrophe , Zvi Lotker , David Peleg

One of the earliest agent-based economical models, Schelling's spacial proximity model illustrated how global segregation can emerge, often unwanted, from the actions of agents of two races acting in accordance with their individual local…

Computer Science and Game Theory · Computer Science 2014-06-13 George Barmpalias , Richard Elwes , Andy Lewis-Pye

We derive sharp bounds on the non consumption utility component in an extended Roy model of sector selection. We interpret this non consumption utility component as a compensating wage differential. The bounds are derived under the…

Econometrics · Economics 2023-08-21 Marc Henry , Romuald Meango , Ismael Mourifie

Our societies are heterogeneous in many dimensions such as census, education, religion, ethnic and cultural composition. The links between individuals - e.g. by friendship, marriage or collaboration - are not evenly distributed, but rather…

Physics and Society · Physics 2010-06-16 P. Pin , M. Marsili , S. Franz

We develop an alternative theory to the aggregate matching function in which workers search for jobs through a network of firms: the labor flow network. The lack of an edge between two companies indicates the impossibility of labor flows…

General Economics · Economics 2019-03-13 Robert L. Axtell , Omar A. Guerrero , Eduardo López

We propose an extended spatial evolutionary public goods game (SEPGG) model to study the dynamics of individual career choice and the corresponding social output. Based on the social value orientation theory, we categorized two classes of…

Physics and Society · Physics 2020-07-07 Yuan Cheng , Yanbo Xue , Meng Chang

We fully solve a sorting problem with heterogeneous firms and multiple heterogeneous workers whose skills are imperfect substitutes. We show that optimal sorting, which we call mixed and countermonotonic, is comprised of two regions. In the…

General Economics · Economics 2023-11-28 Job Boerma , Aleh Tsyvinski , Alexander P. Zimin

One of the fundamental principles driving diversity or homogeneity in domains such as cultural differentiation, political affiliation, and product adoption is the tension between two forces: influence (the tendency of people to become…

Computer Science and Game Theory · Computer Science 2015-10-28 David Kempe , Jon Kleinberg , Sigal Oren , Aleksandrs Slivkins

We analyze the role of selection bias in generating the changes in the observed distribution of female hourly wages in the United States using CPS data for the years 1975 to 2020. We account for the selection bias from the employment…

Econometrics · Economics 2022-01-28 Iván Fernández-Val , Franco Peracchi , Aico van Vuuren , Francis Vella

In this paper we revisit the bias-variance decomposition of model error from the perspective of designing a fair classifier: we are motivated by the widely held socio-technical belief that noise variance in large datasets in social domains…

Machine Learning · Computer Science 2023-02-20 Falaah Arif Khan , Julia Stoyanovich

Conventional models of matching markets assume that monetary transfers can clear markets by compensating for utility differentials. However, empirical patterns show that such transfers often fail to close structural preference gaps. This…

Trading and Market Microstructure · Quantitative Finance 2025-11-27 Yao Wu

Feature selection can facilitate the learning of mixtures of discrete random variables as they arise, e.g. in crowdsourcing tasks. Intuitively, not all workers are equally reliable but, if the less reliable ones could be eliminated, then…

Machine Learning · Statistics 2017-11-28 Vincent Zhao , Steven W. Zucker

The emergence of the modern gig economy introduces a new set of employment considerations for firms and laborers that include various trade-offs. With a game-theoretical approach, we examine the influences of technology, policy and markets…

Physics and Society · Physics 2021-03-25 Kevin Hu , Feng Fu