The Role of Expectation in Job Search and Firm Size Effect on Wages

One of the most puzzling facts in economics is the firm size-wage effect. After controlling for the observable characteristics of workers (age, gender, education, residence etc.), firms (industry, occupation, work conditions etc.) and negotiation effect (unionization), one still finds that the sheer size of a firm increases the wage, contrary to the one-good one-price doctrine. We provide a simple dynamic game model of wage determination to give a new rationale to the firm size-wage effect. We think that the wages are not market clearing prices but strategies by firms. Firms choose wages to control workers' search behavior. The essential feature of the model is that a large firm's history of wages is observable to all the current and future workers, while a small firm is not visible and only its current offer is observable. Therefore a small firm is expected to be a myopic low-wage payer, and its workers search and quit often. A large firm can prevent search if it maintained a high wage throughout the past, thus making workers expect high future wages. In this way, the firm size determines the worker expectations of its future wages, which changes the quit rate and equilibrium wages. To give additional support to our theoretical result, we test a new aspect of firm size-wage effect. Since the effect on wage levels are extensively studied, we derive two main hypotheses on wage gains after job changes. (H1) The proportion of firms that are larger than the previous employer increases the wage gain. (H2) The size of the previous employer decreases the wage gain. The firm size distribution effect (H1) is a new test. We obtain supports for both. Thus we conclude that the wages are strategies and affected by how workers utilize the firm size information in changing jobs. (297 words.)

Long-term observations of Uranus and Neptune at 90 GHz with the IRAM 30m telescope - (1985 -- 2005)

The planets Uranus and Neptune with small apparent diameters are primary calibration standards. We investigate their variability at ~90 GHz using archived data taken at the IRAM 30m telescope during the 20 years period 1985 to 2005. We calibrate the planetary observations against non-variable secondary standards (NGC7027, NGC7538, W3OH, K3-50A) observed almost simultaneously. Between 1985 and 2005, the viewing angle of Uranus changed from south-pole to equatorial. We find that the disk brightness temperature declines by almost 10% (~2sigma) over this time span indicating that the south-pole region is significantly brighter than average. Our finding is consistent with recent long-term radio observations at 8.6 GHz by Klein & Hofstadter (2006). Both data sets do moreover show a rapid decrease of the Uranus brightness temperature during the year 1993, indicating a temporal, planetary scale change. We do not find indications for a variation of Neptune's brightness temperature at the 8% level. If Uranus is to be used as calibration source, and if accuracies better than 10% are required, the Uranus sub-earth point latitude needs to be taken into account.Comment: accepted for publication in A&

Multidimensional procurement auctions with unknown weights

This paper studies the consequences of holding a procurement auction when the principal chooses not to show its preferences. My paper extends the procurement auction model of Che (1993) to a situation where both the principal and the agents have private information. Thus, unknown parameters of both the principal and the agents leads to unclear reaction strategies. I show that an unknown weight on the principal’s valuation of quality leads to the production of to much quality and to high informational rent. A problem that can be reduced using a revelation mechanism. Having an unknown weight on quality gives rise to an analysis of a principal that can not fully commit to the outcome induced by the scoring rule. Therefore, my result apply to contract theory and it’s problems with imperfect commitment.Mechanism design, contract theory, multidimensional auctions

Comparison and verification of enthalpy schemes for polythermal glaciers and ice sheets with a one-dimensional model

The enthalpy method for the thermodynamics of polythermal glaciers and ice sheets is tested and verified by a one-dimensional problem (parallel-sided slab). The enthalpy method alone does not include explicitly the transition conditions at the cold-temperate transition surface (CTS) that separates the upper cold from the lower temperate layer. However, these conditions are important for correctly determining the position of the CTS. For the numerical solution of the polythermal slab problem, we consider a two-layer front-tracking scheme as well as three different one-layer schemes (conventional one-layer scheme, one-layer melting CTS scheme, one-layer freezing CTS scheme). Computed steady-state temperature and water-content profiles are verified with exact solutions, and transient solutions computed by the one-layer schemes are compared with those of the two-layer scheme, considered to be a reliable reference. While the conventional one-layer scheme (that does not include the transition conditions at the CTS) can produce correct solutions for melting conditions at the CTS, it is more reliable to enforce the transition conditions explicitly. For freezing conditions, it is imperative to enforce them because the conventional one-layer scheme cannot handle the associated discontinuities. The suggested numerical schemes are suitable for implementation in three-dimensional glacier and ice-sheet models.Comment: 16 pages, 8 figure

Submillimetre Cosmology at High Angular Resolution

Over the last decade observations at submillimetre (submm) and millimetre (mm) wavelengths, with their unique ability to trace molecular gas and dust, have attained a central role in our exploration of galaxies at all redshifts. Due to the limited sensitivities and angular resolutions of current submm/mm telescopes, however, only the most luminous objects have been uncovered at high redshifts, with interferometric follow-up observations succeeding in resolving the dust and gas reservoirs in only a handful of cases. The coming years will witness a drastic improvement in the current situation, thanks to the arrival of a new suite of powerful submm observatories (single-dish and interferometers) with an order of magnitude improvement in sensitivity and resolution. In this overview I outline a few of what I expect to be the major advances in the field of galaxy formation and evolution that these new ground-breaking facilities will facilitate.Comment: (10 pages, 3 figures. Invited talk, proceedings for the 3rd ARENA Conference "An astronomical observatory at CONCORDIA (Antarctica) for the next decade", 11-15 May 2009, Frascati, Ital