This article studies the negative signals associated with non-promotion. I first show theoretically that, when workers’ productivity rises little with additional years on the same job level, the negative signal associated with non-promotion leads to wage decreases. On the other hand, when...

This chapter studies the consequences of firm delayering on wages and the wage distribution inside firms. I consider a market-based tournament model with asymmetric information to endogenize firms’ delayering decisions. My model predicts that when the CEO becomes more productive, firms grow in...

In many real-world settings, an action that affects the value of a product or service is self-reported rather than publicly observable. This, in turn introduces the possibility of misrepresentation. In this paper, we propose a theoretical model of self-reporting. A sender chooses an action and...