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We develop a probabilistic consumer choice framework based on information asymmetry between consumers and firms. This framework makes it possible to study market competition of several firms by both quality and price of their products. We…

Trading and Market Microstructure · Quantitative Finance 2014-03-26 Hao Liao , Rui Xiao , Duanbing Chen , Matus Medo , Yi-Cheng Zhang

We consider a model of oligopolistic competition in a market with search frictions, in which competing firms with products of unknown quality advertise how much information a consumer's visit will glean. In the unique symmetric equilibrium…

Probability · Mathematics 2022-05-27 Pak Hung Au , Mark Whitmeyer

We study the impact of strategic behavior in labor markets characterized by algorithmic monoculture, where firms compete for a shared pool of applicants using a common algorithmic evaluation. In this setting, "naive" hiring strategies lead…

Computer Science and Game Theory · Computer Science 2026-02-19 Jackie Baek , Hamsa Bastani , Shihan Chen

I study symmetric competitions in which each player chooses an arbitrary distribution over a one-dimensional performance index, subject to a convex cost. I establish existence of a symmetric equilibrium, document various properties it must…

Theoretical Economics · Economics 2026-05-07 Mark Whitmeyer

We study a model of dynamic two-stage R&D competition where the competing firms are uncertain about the difficulty of the first stage. Staying in the competition is costly and a firm can also choose whether and when to quit. When a firm…

Computer Science and Game Theory · Computer Science 2016-10-13 Yangbo Song , Mofei Zhao

Consider an actor making selection decisions using a series of classifiers, which we term a sequential screening process. The early stages filter out some applicants, and in the final stage an expensive but accurate test is applied to the…

Machine Learning · Computer Science 2022-03-16 Avrim Blum , Kevin Stangl , Ali Vakilian

When recruiting job candidates, employers rarely observe their underlying skill level directly. Instead, they must administer a series of interviews and/or collate other noisy signals in order to estimate the worker's skill. Traditional…

Machine Learning · Computer Science 2019-05-28 Lee Cohen , Zachary C. Lipton , Yishay Mansour

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

We study competition between firms that contract with consumers before the consumers fully learn their product preferences. In a Hotelling duopoly, firms screen consumers by offering menus of option contracts. We characterize the unique…

Theoretical Economics · Economics 2026-04-30 Ian Ball , Deniz Kattwinkel , Jan Knoepfle

We study the ramifications of increased commitment power for information provision in an oligopolistic market with search frictions. Although prices are posted and, therefore, guide search, if firms cannot commit to information provision…

Theoretical Economics · Economics 2024-02-20 Pak Hung Au , Mark Whitmeyer

In many countries and institutions around the world, the hiring of workers is made through open competitions. In them, candidates take tests and are ranked based on scores in exams and other predetermined criteria. Those who satisfy some…

Theoretical Economics · Economics 2020-12-18 Azar Abizada , Inácio Bó

We develop inference for a two-sided matching model where the characteristics of agents on one side of the market are endogenous due to pre-matching investments. The model can be used to measure the impact of frictions in labour markets…

Econometrics · Economics 2019-08-28 Jacob Schwartz

Selective contests can impair participants' overall welfare in overcompetitive environments, such as school admissions. This paper models the situation as an optimal contest design problem with binary actions, treating effort costs as…

Theoretical Economics · Economics 2024-10-07 Penghuan Yan

We study a decentralized matching market in which firms sequentially make offers to potential workers. For each offer, the worker can choose "accept" or "reject," but the decision is irrevocable. The acceptance of an offer guarantees her…

Computer Science and Game Theory · Computer Science 2019-11-19 Yasushi Kawase , Yutaro Yamaguchi , Yu Yokoi

We study a game between $N$ job applicants who incur a cost $c$ (relative to the job value) to reveal their type during interviews and an administrator who seeks to maximize the probability of hiring the best. We define a full learning…

Theoretical Economics · Economics 2025-07-11 Longjian Li , Alexis Akira Toda

Collaborative competitions have gained popularity in the scientific and technological fields. These competitions involve defining tasks, selecting evaluation scores, and devising result verification methods. In the standard scenario,…

Machine Learning · Computer Science 2024-08-22 Sergio Nava-Muñoz , Mario Graff , Hugo Jair Escalante

In this paper we introduce the hiring under uncertainty problem to model the questions faced by hiring committees in large enterprises and universities alike. Given a set of $n$ eligible candidates, the decision maker needs to choose the…

Data Structures and Algorithms · Computer Science 2019-05-08 Manish Raghavan , Manish Purohit , Sreenivas Gollupadi

Firms engaged in electronic commerce increasingly rely on predictive analytics via machine-learning algorithms to drive a wide array of managerial decisions. The tuning of many standard machine learning algorithms can be understood as…

Computer Science and Game Theory · Computer Science 2022-02-25 Yiding Feng , Ronen Gradwohl , Jason Hartline , Aleck Johnsen , Denis Nekipelov

We study a signaling game between two firms competing to have their product chosen by a principal. The products have qualities drawn i.i.d. from a common prior. The principal aims to choose the better product, but the quality of a product…

Computer Science and Game Theory · Computer Science 2021-10-22 Siddhartha Banerjee , David Kempe , Robert Kleinberg

A fundamental decision faced by a firm hiring employees - and a familiar one to anyone who has dealt with the academic job market, for example - is deciding what caliber of candidates to pursue. Should the firm try to increase its…

Computer Science and Game Theory · Computer Science 2014-12-08 Jon Kleinberg , Sigal Oren
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