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In mechanism design it is typical to impose incentive compatibility and then derive an optimal mechanism subject to this constraint. By replacing the incentive compatibility requirement with the goal of minimizing expected ex post regret,…
This study analyzes the gender gap in desired wages using large administrative data of public job referrals, which allows us to look at the desired salaries of individuals from a wider wage distribution. We conduct a decomposition analysis…
Drawing on work spanning economics, public health, education, sociology, and law, I formalize theoretically what makes systemic discrimination "systemic." Injustices do not occur in isolation, but within a complex system of interdependent…
This paper shows that group composition shapes the effectiveness of labor market training programs for jobseekers. Using rich administrative data from Germany and a novel measure of employability, I find that participants benefit from…
We study a mechanism design problem where a seller aims to allocate a good to multiple bidders, each with a private value. The seller supports or favors a specific group, referred to as the minority group. Specifically, the seller requires…
The ability to plan with temporal abstractions is central to intelligent decision-making. Rather than reasoning over primitive actions, we study agents that compose pre-trained policies as temporally extended actions, enabling solutions to…
The minority model was introduced to study the competition between agents with limited information. It has the remarkable feature that, as the amount of information available increases, the collective gain made by the agents is reduced.…
We propose a dynamical model for group formation and switching behavior in systems where each group competes for members through attraction functions that are inversely proportional to their current sizes. This attraction is modulated by…
I study labor markets in which firms hire via referrals. I develop an employment model showing that--despite initial equality in ability, employment, wages, and network structure--minorities receive fewer jobs through referral and lower…
Constituents of complex systems interact with each other and self-organize to form complex networks. Empirical results show that the link formation process of many real networks follows either the global principle of popularity or the local…
We represent the functioning of the housing market and study the relation between income segregation, income inequality and house prices by introducing a spatial Agent-Based Model (ABM). Differently from traditional models in urban…
The traditional approach to the quantitative study of segregation is to employ indices that are selected by ``desirable properties''. Here, we detail how information theory underpins entropy-based indices and demonstrate how desirable…
Historical studies of labor markets frequently lack data on individual income. The occupational income score (OCCSCORE) is often used as an alternative measure of labor market outcomes. We consider the consequences of using OCCSCORE when…
Allocating conflicting jobs among individuals while respecting a budget constraint for each individual is an optimization problem that arises in various real-world scenarios. In this paper, we consider the situation where each individual…
We study a dynamic labor market in which a risk-averse worker with career concerns chooses each period between self-employment, which generates publicly observed binary output, and employment at a firm, which pays a flat wage but keeps…
In a setting where heterogeneous agents interact to accomplish a given set of goals, cooperation is of utmost importance, especially when agents cannot achieve their individual goals by exclusive use of their own efforts. Even when we…
We consider the role of unobservables, such as differences in search frictions, reservation wages, and productivities for the explanation of wage differentials between migrants and natives. We disentangle these by estimating an empirical…
The Schelling model of segregation looks to explain the way in which a population of agents or particles of two types may come to organise itself into large homogeneous clusters, and can be seen as a variant of the Ising model in which the…
This paper studies the identification, estimation, and hypothesis testing problem in complete and incomplete economic models with testable assumptions. Testable assumptions ($A$) give strong and interpretable empirical content to the models…
We study the behaviour of a Schelling-class system in which a fraction $f$ of spatially-fixed switching agents is introduced. This new model allows for multiple interpretations, including: (i) random, non-preferential allocation…