What Can International Cricket Teach Us About the Role of Luck in Labor Markets? / Shekhar Aiyar, Rodney Ramcharan.

Format:

Book

Government document

Author/Creator:

Aiyar, Shekhar.

Contributor:

Ramcharan, Rodney.

Series:

IMF Working Papers; Working Paper ; No. 2010/225

IMF Working Papers

Language:

English

Subjects (All):

Labor market--Econometric models.

Labor market.

Labor supply.

Physical Description:

1 online resource (51 p.)

Place of Publication:

Washington, D.C. : International Monetary Fund, 2010.

Language Note:

English

Summary:

How important is luck in determining labor market outcomes? We address this question using a new dataset of all international test cricketers who debuted between 1950 and 1985. We present evidence that a player’s debut performance is strongly affected by an exogenous source of variation: whether the debut series is played at home or abroad. This allows us to identify the role of luck - factors unrelated to ability - in shaping future career outcomes. We find that players lucky enough to debut at home perform significantly better on debut. Moreover, debut performance has a large and persistent impact on long run career outcomes. We also make headway in empirically distinguishing between competing explanations for why exogenous initial conditions exercise a persistent impact on career performance.

Contents:

Cover Page; Title Page; Copyright Page; Contents; I. Introduction; II. Empirical Framework and Data; 1. Summary Statistics by Country; III. Main Results; A. First Stage: The Impact of Location on Debut Series Performance; 1. The Distribution of Debut Ages, by Debut Location; 2. Dependent Variable: Debut Series Batting Average; 3. Dependent Variable: Debut Series Bowling Average; 2. Quantile Regressions; 4. Median Regression; B. Second Stage: How Persistent is Luck?; 3. Career Batting Average vs Debut Batting Average; 4. Career Bowling Average vs Debut Bowling Average

5. Dependent Variable: Career Batting Average6. Dependent Variable: Career Bowling Average; 7. Alternative Identification Strategy: Quality of Opposition; IV. Accounting for the Persistence of Luck; 8. Reduced Form and IV Specifications for All Batsmen and Retained Batsmen; 9. Reduced Form and IV Specifications for All Bowlers and Retained Bowlers; 10. The Retention Decision; V. Conclusion; References; Footnotes

Notes:

"October 2010."

Includes bibliographical references.

Description based on print version record.

ISBN:

9786613873255

9781462396092

1462396097

9781455244614

1455244619

9781283560801

1283560801

9781455209835

145520983X

OCLC:

867926943