Scandinavian Working Papers in Economics
Research Papers in Economics,
Stockholm University, Department of Economics
No 1999:14: Learning by Helping: A Bounded Rationality Model of Mentoring
Mahmood Arai (), Antoine Billot and Joseph Lanfranchi
Additional contact information
Mahmood Arai: Dept. of Economics, Stockholm University, Postal: Department of Economics, Stockholm University, S-106 91 Stockholm, Sweden
Antoine Billot: ERMES, Université Panthéon-Assas, Paris II
Joseph Lanfranchi: ERMES, Université Panthéon-Assas, Paris II
Abstract: Within an organization, a bounded rational principal organizes a promotion test based on a sequence of test regarding candidates' relative performances. We assume the principal to suffer from limited ability to rank the performances, only identifying the best in each test. Furthermore, he satisfies the expected gains do not decreases whit the information generated by additional tests. Then, mentoring is shown to improve the information about candidates' ability when the principal offers help to the current best candidate provided by a manager promoted after a similar contest.
Keywords: Mentoring; Selection; Contests; Bounded Rationality
27 pages, October 8, 1999
Full text files
wp99_14.pdf
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