Competition and Human Capital Accumulation PDF Download
Are you looking for read ebook online? Search for your book and save it on your Kindle device, PC, phones or tablets. Download Competition and Human Capital Accumulation PDF full book. Access full book title Competition and Human Capital Accumulation by Julio Rotemberg. Download full books in PDF and EPUB format.
Author: Julio Rotemberg
Publisher: Forgotten Books
ISBN: 9780267112173
Category : Business & Economics
Languages : en
Pages : 46
Get Book Here
Book Description
Excerpt from Competition and Human Capital Accumulation: A Theory of Interregional Specialization and Trade Marshall (1920) posits instead that the external economies arise from proximity to specialized inputs. As noted by Helpman and Krugman unless there is a natural comparative advantage for the production of these inputs in the region, this explanation is incomplete. The puzzle is simply rolled back to the previous production stage: Why do the producers of inputs locate in the region? Our theory is that the location decisions of the firms and their input suppliers are interdependent. Input suppliers find it advantageous to be located where they have several potential customers because competition among their downstream customers assures them a fair return. In the absence of such competition, the relatively immobile suppliers would be subject to the monopsony power of the downstream firms. Foreseeing that monopsony power would be used to drive down input prices, potential input suppliers would not choose to invest ex ante in the accumulation of the capital necessary to supply the inputs efficiently. This critical role of competition in securing a return to suppliers is one of the elements in Porter's (1989) broad treatise on regional agglomeration. For concreteness, the particular input we focus on is industry specific human capital which is costly for individuals to acquire, such as the specific hand-eye coordination needed to cut diamonds or the skills which facilitate the creation of a new chocolate concoction. If trained workers can choose among several potential employers, they will be paid as a function of their marginal product. By contrast, if there is only one potential employer, and it is impossible to write contracts that specify the level of training, there is no reason for this monopsonist to pay trained employees any more than untrained employees earn (in this industry or elsewhere). The hold-up problem described by Williamson (1975) arises. Confronted with the prospect of a single potential employer, workers do not find it worthwhile to accumulate human capital. Moreover, if entry by firms is costly, firms will themselves refrain from entering if they can expect to be the only firm in the industry. The industry can only exist with several closely located competitors. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.
Author: Julio Rotemberg
Publisher: Forgotten Books
ISBN: 9780267112173
Category : Business & Economics
Languages : en
Pages : 46
Get Book Here
Book Description
Excerpt from Competition and Human Capital Accumulation: A Theory of Interregional Specialization and Trade Marshall (1920) posits instead that the external economies arise from proximity to specialized inputs. As noted by Helpman and Krugman unless there is a natural comparative advantage for the production of these inputs in the region, this explanation is incomplete. The puzzle is simply rolled back to the previous production stage: Why do the producers of inputs locate in the region? Our theory is that the location decisions of the firms and their input suppliers are interdependent. Input suppliers find it advantageous to be located where they have several potential customers because competition among their downstream customers assures them a fair return. In the absence of such competition, the relatively immobile suppliers would be subject to the monopsony power of the downstream firms. Foreseeing that monopsony power would be used to drive down input prices, potential input suppliers would not choose to invest ex ante in the accumulation of the capital necessary to supply the inputs efficiently. This critical role of competition in securing a return to suppliers is one of the elements in Porter's (1989) broad treatise on regional agglomeration. For concreteness, the particular input we focus on is industry specific human capital which is costly for individuals to acquire, such as the specific hand-eye coordination needed to cut diamonds or the skills which facilitate the creation of a new chocolate concoction. If trained workers can choose among several potential employers, they will be paid as a function of their marginal product. By contrast, if there is only one potential employer, and it is impossible to write contracts that specify the level of training, there is no reason for this monopsonist to pay trained employees any more than untrained employees earn (in this industry or elsewhere). The hold-up problem described by Williamson (1975) arises. Confronted with the prospect of a single potential employer, workers do not find it worthwhile to accumulate human capital. Moreover, if entry by firms is costly, firms will themselves refrain from entering if they can expect to be the only firm in the industry. The industry can only exist with several closely located competitors. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.
Author: Julio Rotemberg
Publisher: Palala Press
ISBN: 9781341527944
Category :
Languages : en
Pages : 54
Get Book Here
Book Description
This work has been selected by scholars as being culturally important, and is part of the knowledge base of civilization as we know it. This work was reproduced from the original artifact, and remains as true to the original work as possible. Therefore, you will see the original copyright references, library stamps (as most of these works have been housed in our most important libraries around the world), and other notations in the work. This work is in the public domain in the United States of America, and possibly other nations. Within the United States, you may freely copy and distribute this work, as no entity (individual or corporate) has a copyright on the body of the work.As a reproduction of a historical artifact, this work may contain missing or blurred pages, poor pictures, errant marks, etc. Scholars believe, and we concur, that this work is important enough to be preserved, reproduced, and made generally available to the public. We appreciate your support of the preservation process, and thank you for being an important part of keeping this knowledge alive and relevant.
Author:
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
Author: Julio J. Rotemberg
Publisher:
ISBN:
Category :
Languages : es
Pages : 34
Get Book Here
Book Description
Author:
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
Author: Román Zárate
Publisher:
ISBN:
Category :
Languages : en
Pages : 0
Get Book Here
Book Description
Economic literature has identified positive effects of peer abilities on individual achievement. However, the intuitive arguments supporting this evidence are not clear. This article presents a specific mechanism: cooperation and competition among group members; more precisely, the presence of positive and negative externalities in human capital accumulation. First, I develop an economic model that incorporates both kinds of externalities and shows the existence of an optimal level of competition between group members that maximizes human capital accumulation. Then, using data from PISA (2000) and an empirical strategy that controls for potential endogeneity issues, I find empirical evidence supporting the main results of the theoretical model. Namely, I find robust evidence of a non-linear effect of competition on academic performance. These results are consistent with the proposed model and the presence of positive technological externalities in educational production functions.
Author: Christopher Cotton
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
We develop a model in which many heterogeneous agents invest in human capital as they compete for better college admission slots or employment opportunities. The model provides theoretical predictions about how affirmative action or preferential treatment policies change the distribution of effort, human capital accumulation, and job/college slot allocations across different population groups. Our findings deliver two key insights. First, incentives to invest in human capital depends substantially on the strength of one's competition. Second, we find evidence of a counter-intuitive role for preferential treatment in promoting overall human capital development.
Author: Brent Hickman
Publisher:
ISBN:
Category :
Languages : en
Pages : 0
Get Book Here
Book Description
We analyze a theoretical model in which many heterogeneous agents invest in productive human capital as they compete for better college seats or employment opportunities. We derive theoretical predictions about how intensity of market competition and/or preferential treatment allocation policies change the distribution of effort and human capital accumulation across different population groups. Our main results highlight how Spence-like incentives still play a significant role in many important market settings with dominant Beckerian incentives, where effort produces intrinsically valuable human capital. We show that the findings are robust to a range of assumptions, and discuss policy implications of these results.
Author: J. Stewart Black
Publisher: CRC Press
ISBN: 1000008770
Category : Business & Economics
Languages : en
Pages : 176
Get Book Here
Book Description
Executives say that people are their most important asset, but most don’t walk the talk. They don’t have systematic strategies for how to get the people they want to want them. They don’t have measures and metrics for how they are doing to be the employer of choice. They don’t hold leaders accountable regarding those ambitions. In many cases, this is because top leaders don’t have concrete tools to help them do what they know they should. This book fills that gap in three major sections. The first section supports with clear and compelling data what executives intuitively but somewhat superficially believe—that people are their most important asset. The second section provides a systematic process and set of tools to help leaders get the people they want to want them; it shows executives how to win the competition for human capital. The third section then helps leaders position people appropriately so that they can create a sustainable competitive advantage; its shows executives how to compete with human capital. When it comes to human capital, most books get it wrong. Strategy books place human capital to the side as an enabler of competitive advantage. HR books treat human capital as a support activity to business strategy. This book places human capital where it should be—not to the side and not as an enabler or a support activity, but at the center and as the source of competitive advantage.
Author: Aurora Teixeira
Publisher: Edward Elgar Pub
ISBN: 9781843768241
Category : Nature
Languages : en
Pages : 250
Get Book Here
Book Description
This work investigates how it is possible for human capital accumulation to fail in delivering modernisation to middle-income countries. This failure is a consequence of the disruptive effects of knowledge accumulation as firms simultaneously seek a means to survive and to increase their competitiveness in a globalising economy. The work proposes a rational economic explanation for a pervasive phenomenon that has so far been neglected by the mainstream human capital theory - the commonly observed pattern of relative inertia in the demand for human capital accumulation in middle-income countries. The book makes a major contribution to understanding the possibility of 'low level' equilibrium 'traps' in the development process and poses a challenging set of issues for future research and policy consideration.