Match Quality Research Articles

Education and Geographical Mobility: The Role of the Job Surplus

Better educated workers accept many more long-distance job offers, and relocate quicker following local shocks. I attribute this to a fundamental feature of their labor market experience, unrelated to geography: large returns to job match quality. If a good offer happens to originate from far away, the match surplus is then more likely to justify the cost of moving. This “lubricates” labor markets spatially. Using wage transition data (and a jobs ladder model), I show this can explain the bulk of mobility differentials. These differentials can be closed by subsidizing long-distance matches, and I quantify the cost of doing so. (JEL I26, J24, J41, J61, R23)

Are urban labour markets more dynamic? Vacancies and urban scaling

This paper shows that there is superlinear scaling of vacancies with employment size. That is, there are disproportionally more vacancies relative to employment in urban areas, not just for overall employment, but also for occupational and educational classes. Hence vacancies are more strongly concentrated than the jobs to which they refer. Moreover, we find that, compared to all employment, the concentration of labour demand increases with required skill levels. We show that the stronger growth of jobs in cities is unable to explain this finding and propose an alternative explanation based on vacancy chains in spatially related labour markets. The results suggest that on-the-job searchers have better possibilities in cities to improve their position. This helps explain the higher mobility of especially younger workers in cities and the superior quality of job-worker matches in large labour markets.

Wage employment, unemployment and self-employment across countries

Poor countries have low wage employment and high self-employment. This paper shows that they also have high unemployment relative to wage employment, and that self-employment increases with this ratio. To understand the sources of these patterns, I build a search and matching model with choice between job search and self-employment and with learning about matches, and calibrate it to match all transition rates between wage employment, unemployment and self-employment as well as separation hazards by job duration, separately for all 37 countries with available data. Quantitative analysis of the model shows that labor market frictions affect self-employment as much as unemployment. Labor market frictions also reduce aggregate output, not only by raising unemployment, but also by worsening the average quality of both wage employment matches and active self-employment projects.

What Lies behind the Returns to Schooling: The Role of Labor Market Sorting and Worker Heterogeneity

Abstract Do more educated workers earn higher wages partly because they have access to high-paying firms and occupations? We rely on linked employer-employee data to combine the estimation of AKM models with the decomposition of the returns to schooling. We exploit exogenous variation in education driven by changes in compulsory education. We show that education provides access to better-paying workplaces and occupations: 30 percent of the overall return to education operates through the workplace channel and 12 percent through the occupation channel. The remainder is associated exclusively with the individual. Match quality plays a modest role in the returns to education.

How Do Digital Advertising Auctions Impact Product Prices?

Abstract We present a model of digital advertising with three key features: (1) advertisers can reach consumers on and off a platform, (2) additional data enhances the value of advertiser–consumer matches, and (3) the allocation of advertisements follows an auction-like mechanism. We contrast data-augmented auctions, which leverage the platform’s data advantage to improve match quality, with managed-campaign mechanisms that automate match formation and price-setting. The platform-optimal mechanism is a managed campaign that conditions the on-platform prices for sponsored products on the off-platform prices set by all advertisers. This mechanism yields the efficient on-platform allocation but inefficiently high off-platform product prices. It attains the vertical integration profit for the platform and the advertisers, and it increases off-platform product prices while decreasing consumer surplus, relative to data-augmented auctions.

How middle-skilled workers adjust to immigration: the role of occupational skill specificity

PurposeOur study explores the effects of immigration on the employment of native middle-skilled workers, focusing on how this effect varies with the specificity of their occupational skill bundles.Design/methodology/approachExploiting the 2002 opening of the Swiss labor market to EU workers and using register data on the location and occupation of these workers, our findings provide novel results on the labor market effects of immigration.FindingsWe show that the inflow of EU workers led to an increase in the employment of native middle-skilled workers with highly specific occupational skills. This finding could be attributed to immigrant workers reducing existing skill gaps, enhancing the quality of job-worker matches, and alleviating firms' capacity restrictions. This allowed firms to create new jobs, thereby providing increased employment options for middle-skilled workers with highly specialized skills.Originality/valuePrevious literature has predominantly highlighted the disadvantages of specific occupational skills compared to general skills in the context of labor market shocks. However, our findings reveal that workers with specific occupational skills can benefit from an immigration-driven labour market shock. These results suggest that policy conclusions regarding the role of specific occupational skills should be more nuanced.

Human Capital Portability and Careers in Finance

Abstract How does firm-specific human capital shape careers in the finance industry? We build a dynamic model where workers accumulate portable and nonportable (firm-specific) human capital and learn about their match quality with employers. Estimating the model using granular data on M&A advisory bankers, we show that a large fraction of bankers’ human capital is nonportable, ranging from 12% to 46% across different firm types. Bankers make a dynamic trade-off between portability and returns on human capital, leading to time-varying job preferences over their life cycle. Our results have broad implications for careers in finance and the provision of financial services.

(Non-)obvious manipulability of rank-minimizing mechanisms

In assignment problems, the rank distribution of assigned objects is often used to evaluate match quality. Rank-minimizing (RM) mechanisms directly optimize for average rank. While appealing, a drawback is RM mechanisms are not strategyproof. This paper investigates whether RM satisfies the weaker incentive notion of non-obvious manipulability (NOM, Troyan and Morrill, 2020). I show any RM mechanism with full support — placing positive probability on all rank-minimizing allocations — is NOM. In particular, uniform randomization satisfies this condition. Without full support, whether an RM mechanism is NOM or not depends on the details of the selection rule.

Measuring the quality of a match

The quality of an employment match is a central concept in labor economics. It is relevant for evaluating the welfare impact of labor market policies, and for our understanding of labor market dynamics. This paper reviews the challenges associated with measuring match quality. We first review measures commonly used in the literature, their advantages, and drawbacks. We then present novel evidence from a survey sample of US employees where alternative measures were collected simultaneously. We show that while some of these measures correlate well, others do not. Finally, we present additional partial evidence on the correlations between measures based on the National Longitudinal Survey of Youth (NLSY79), a substantially larger and nationally representative survey. The takeaway message is a word of caution regarding the interpretation of some of these measures and specific concerns regarding using wages and tenure as indicators of match quality.

Efficient risk sharing and separation

This paper extends the model of risk sharing with limited commitment to feature separation. Partners face idiosyncratic income and match quality shocks, share risk subject to limited commitment, and separate whenever they are better off doing so. We characterise analytically the sets of shock realisations where constrained-efficient separations occur and the dynamics of consumption while the risk-sharing partnership continues. The separation probability typically jumps as parameter values change continuously, and an additional inefficient equilibrium emerges. A key reason is complementarity between risk sharing and staying together today and in the future. Income inequality affects consumption inequality via its effect on separations, and consumption inequality can optimally exceed income inequality for any history of income realisations. Both partial risk sharing and separation are relevant for many applications, including the interaction between partners in a household and countries in an economic union.

A model of risk sharing in a dual labor market

In OECD countries, the labor market features a coexistence of open-ended, permanent jobs subject to strict employment protection and fixed-term, temporary jobs. This paper studies a search-and-matching model with risk-averse workers and dynamic employment contracts subject to limited commitment. In equilibrium, permanent and temporary jobs coexist when the match quality is sufficiently dispersed: firing costs generate insurance gains implying that permanent contracts are optimal for high-quality matches. Consistent with recent empirical evidence, quantitative analysis of the model shows that temporary contracts crowd out permanent jobs and do not generate employment gains.

Just reallocated? Robots displacement, and job quality

AbstractConcerns over widespread technological unemployment are often dismissed with the argument that human labour is not destroyed by automation but rather reallocated to other tasks, occupations or sectors. When focusing on pure employment levels, the idea that workers are not permanently excluded but ‘just’ reallocated might be reassuring. However, while attention has been devoted to the impact of automation on employment levels, little has been said about the quality of new job matches for displaced workers. Using an administrative longitudinal panel covering a large sample of Spanish workers from 2001 to 2017, we investigate the short‐ and medium‐term re‐employment prospects of workers displaced from sectors with an increasing density of industrial robots. Furthermore, we examine the role of reallocation to other sectors or local labour markets as adjustment mechanisms. Our analysis suggests that exposed middle‐ and low‐skilled workers are more likely than non‐exposed workers to remain unemployed 6 months after displacement. Among those who find a new occupation, an additional robot per 1000 workers increases the probability of being re‐employed in a lower paying job by about 1.9 percentage points for middle‐ and low‐skilled workers, with significantly higher penalties for those who relocate to a different sector. Moreover, these workers tend to face a qualification downgrading in the new job and are more likely to be re‐employed through temporary employment agencies. High‐skilled workers are less negatively affected by exposure, although they can also incur a penalty when changing sectors.

The Temptation of Social Networks under Job Search Frictions

Abstract This paper presents descriptive evidence that although social networks are helpful to find jobs, the jobs found through social networks tend to be mismatched. The paper uses nationally representative matched employer–employee data in Bangladesh that include direct measures of match quality. Less educated and seemingly poorer workers are more likely to have found their jobs through social networks. Compared to workers at the same occupation level in the same firm who were matched through formal channels, those matched through social networks found their jobs quicker but have lower match quality and earn less. The mechanism, suggested by a theoretical model, is as follows: even when social networks are connected to mismatched jobs, workers can be tempted to use social networks to find mismatched jobs for fear of finding nothing. This temptation is stronger for less skilled and poorer workers, because costly formal channels are less rewarding and affordable for them.

PXg: Comprehensive Identification of Noncanonical MHC-I–Associated Peptides From De Novo Peptide Sequencing Using RNA-Seq Reads

Discovering noncanonical peptides has been a common application of proteogenomics. Recent studies suggest that certain noncanonical peptides, known as noncanonical major histocompatibility complex-I (MHC-I)-associated peptides (ncMAPs), that bind to MHC-I may make good immunotherapeutic targets. De novo peptide sequencing is a great way to find ncMAPs since it can detect peptide sequences from their tandem mass spectra without using any sequence databases. However, this strategy has not been widely applied for ncMAP identification because there is not a good way to estimate its false-positive rates. In order to completely and accurately identify immunopeptides using de novo peptide sequencing, we describe a unique pipeline called proteomics X genomics. In contrast to current pipelines, it makes use of genomic data, RNA-Seq abundance and sequencing quality, in addition to proteomic features to increase the sensitivity and specificity of peptide identification. We show that the peptide-spectrum match quality and genetic traits have a clear relationship, showing that they can be utilized to evaluate peptide-spectrum matches. From 10 samples, we found 24,449 canonical MHC-I–associated peptides and 956 ncMAPs by using a target-decoy competition. Three hundred eighty-seven ncMAPs and 1611 canonical MHC-I–associated peptides were new identifications that had not yet been published. We discovered 11 ncMAPs produced from a squirrel monkey retrovirus in human cell lines in addition to the two ncMAPs originating from a complementarity determining region 3 in an antibody thanks to the unrestricted search space assumed by de novo sequencing. These entirely new identifications show that proteomics X genomics can make the most of de novo peptide sequencing’s advantages and its potential use in the search for new immunotherapeutic targets.

The cyclicality of on-the-job search

On-the-job search is increasingly recognized as an important potential driver of labor market dynamics over the business cycle. Using the UK Labor Force Survey, we find robust empirical evidence that on-the-job search is countercyclical and that the cyclical fluctuations have important repercussions for labor market dynamics. We also find that the cyclical pattern is not explained by precautionary search motives but rather appears to be driven by job-ladder-motivated searches. This finding is surprising because, as we confirm, the expected returns to on-the-job search are procyclical. We find evidence that three features of search behavior may contribute to this finding: greater search effort in response to lower job-to-job transition probabilities, a prevalence of non-pecuniary motivated searches that are less affected by lower expected wage gains, and procyclicality in average match quality, which has a significant impact on the search behavior of new hires over the business cycle.

The Equilibrium Size and Value‐Added of Venture Capital

ABSTRACTI model positive sorting of entrepreneurs across the high and low value‐added segments of the venture capital market. Aiming to attract high‐quality entrepreneurs, inefficiently many venture capitalists (VCs) commit to provide high value‐added by forming small portfolios. This draws the marginal entrepreneur away from the low value‐added segment, reducing match quality in the high value‐added segment too. There is underinvestment. Multiple equilibria may emerge, and they differ in aggregate investment. The model rationalizes evidence on VC returns and value‐added along fundraising “waves” and when the cost of entrepreneurship falls, and generates untested predictions on the size and value‐added of venture capital.

DESIGN REVIEW ANALYSIS OF THE USE OF STONE HEAPS FROM STONE EXCAVATIONS IN THE PROBOLINGGO – BANYUWANGI TOLL ROAD CONSTRUCTION PROJECT SECTION 3

In constructing a toll road, the road structure will be carried out by constructing embankments on the road. However, in practice it often causes elevation differences between the two land surfaces, thereby increasing the risk of landslides. The objectives of the research are 1) Identifying the impact if Common Borrow Material (CBM) embankment work is replaced by rock embankment from excavation results, 2) Determine the value engineering process steps related to completing alternative design selection if there are differences between the actual Detailed Engineering Design in the field and 3) Determine the strategy and design optimization for volume differences which have implications for additional costs and project implementation time. The research uses a combination of quantitative and qualitative research methods. The data analysis technique is carried out using the Zero-one and Cost Analysis methods. The research results prove that 1) Implementation of the design review method for changes in common borrow material dumping work requires innovation to reduce cost elements and match performance and quality. 2) Solving problems using the design review method in the civil works construction phase where the Detail Engineering Design and actual field conditions have different stages of value engineering analysis. 3) Based on function analysis to optimize cost savings for work items using design review, a Preliminary Design according to DED Rp. 4,068,258,782,670 and Design after RE Rp. IDR 3,987,286,153,268 so the cost reduction after implementing the design review for the work of piling stones from stone excavation results is IDR 80,972,629,402.

Disparities in Cytomegalovirus Infection Rates by Race and Ethnicity among Pediatric Allogeneic Hematopoietic Cell Transplantation Recipients at a Single Center

Previous literature has reported cytomegalovirus (CMV) infection rate disparities among racial/ethnic groups of hematopoietic cell transplantation (HCT) recipients. Because race and ethnicity categorizations are social constructs unlikely to affect biological systems, it is likely there are covariates on the pathway to CMV detection, known as mediators, that can explain the observed disparity. Recent developments in mediation analysis methods enable the analysis of time-to-event outcomes, allowing an investigation of these disparities to also consider the timing of CMV infection detection relative to HCT. This study aimed to explore whether racial and ethnic CMV infection disparities existed within a population of HCT recipients at our center, and whether clinical covariates explained any observed association. The study cohort included all recipients of allogeneic HCT performed at the Children's Hospital of Philadelphia between January 2004 and April 2017 who were CMV PCR-negative pretransplantation, had known donor/recipient CMV serology, and were under blood CMV PCR surveillance. Subjects were followed for 100 days post-HCT. Accelerated failure time models using subject's reported race/ethnicity, dichotomized into non-Hispanic White (NHW) and non-NHW, and exposure and time to CMV detection as outcomes examined whether selected clinical factors-donor/recipient CMV serostatus, recipient age, indication for HCT, hematopoietic cell source, match quality-mediated any identified exposure-outcome association. The analysis included 348 HCTs performed in 335 subjects, with 86 episodes (24.7%) in which CMV was detected via PCR analysis. The accelerated failure time model without mediators estimated that non-NHW subjects had fewer CMV-free survival days (time ratio, .21; 95% confidence interval, .10 to .44). Any hypothesized mediator mediated at most 5% of the total association between race/ethnicity and time to CMV detection. Non-NHW HCT recipients had fewer CMV-free survival days than NHW recipients; none of the clinical factors hypothesized to mediate this association accounted for a significant component of total association. Further research should focus on nonclinical factors influenced by systemic racism to better understand their effect on CMV infection among HCT recipients.

Research on the Influence of Football Transfer Behavior on Major Leagues in the 21st Century

Recently, within the global scope, led by the Saudi League and regional clubs such as Manchester City, some teams have relied on solid capital support to purchase many players, affecting the fairness of the league. At the same time, it has also led to a decline in the quality of matches in major leagues. So based on this, this research decide to Discuss some unreasonable transfers in the world of football today and the significance of capital to the development of major leagues and football. The meaning of discussing this issue is that we hope that by discussing this issue, this research hope to find a suitable way to change the trend of using large amounts of capital to buy players to affect the fairness of the game. Our research searched for controversial deals and then compared the impact of these deals on leagues and teams. In conclusion, while the Saudi leagues and Manchester City's spending power is reshaping global football, it is crucial to balance this with the development of local talent and to maintain a competitive balance in international football. The pursuit of money should not over shadow the essence of the sport. Our research believes that the World Football transactions, such as setting up a wage cap and requiring and managing transactions.

Toward building a better scaffold: how types of mentor support inform mentor-mentee match relationship quality.

In the field of youth mentoring, mentor support, as an important scaffold for youth development, is linked to match relationship quality between mentors and mentees. This study examined associations between the support provided by different categories of mentors and internal match quality among 240 mentors in youth mentoring programs. Four clusters of mentors emerged, representing different combinations of purposes for mentor-mentee interactions. Mentors who focused less on the character development of their mentees showed reduced benefits in other forms of interactions, such as fun, sharing, future outlook, or academics in promoting high overall mentor-mentee internal match quality, including relational quality and instrumental quality. While mentors who focused less on future outlook in their mentoring interactions showed reduced benefits for other purposes in promoting internal instrumental quality. These findings were not influenced by mentors' demographic differences such as gender, age, race, and educational background. The significance of the findings for future research and practice is discussed.