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Attentional role of quota implementation

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11640%2F21%3A00546178" target="_blank" >RIV/00216208:11640/21:00546178 - isvavai.cz</a>

  • Alternative codes found

    RIV/67985998:_____/21:00546177

  • Result on the web

    <a href="https://doi.org/10.1016/j.jet.2021.105356" target="_blank" >https://doi.org/10.1016/j.jet.2021.105356</a>

  • DOI - Digital Object Identifier

    <a href="http://dx.doi.org/10.1016/j.jet.2021.105356" target="_blank" >10.1016/j.jet.2021.105356</a>

Alternative languages

  • Result language

    angličtina

  • Original language name

    Attentional role of quota implementation

  • Original language description

    In this paper, we introduce a new role of quotas, e.g. labor market quotas: the attentional role. We study the effect of quota implementation on the attention allocation strategy of a rationally inattentive (RI) manager. We find that quotas induce attention: a RI manager who is forced to fulfill a quota, unlike an unrestricted RI manager, never rejects minority candidates without acquiring information about them. We also demonstrate that in our model quotas are behaviorally equivalent to subsidies. In addition, we analyze different goals that the social planner can achieve by implementing quotas. First, quotas can eliminate statistical discrimination, i.e. make the chances of being hired independent from the group identity. Second, when the hiring manager has inaccurate beliefs about the distribution of candidates' productivities, the social planner can make the manager behave as if she has correct beliefs. Finally, we show how our results can be used to set a quota level that increases the expected value of the chosen candidates.

  • Czech name

  • Czech description

Classification

  • Type

    J<sub>imp</sub> - Article in a specialist periodical, which is included in the Web of Science database

  • CEP classification

  • OECD FORD branch

    50201 - Economic Theory

Result continuities

  • Project

  • Continuities

    I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Others

  • Publication year

    2021

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Name of the periodical

    Journal of Economic Theory

  • ISSN

    0022-0531

  • e-ISSN

    1095-7235

  • Volume of the periodical

    198

  • Issue of the periodical within the volume

    December

  • Country of publishing house

    US - UNITED STATES

  • Number of pages

    25

  • Pages from-to

    105356

  • UT code for WoS article

    000704513600004

  • EID of the result in the Scopus database

    2-s2.0-85115977922