SEQUENTIAL SEARCH WITH ADAPTIVE INTENSITY

• 成果类型: Article
• 署名作者: Lee, Joosung; Li, Daniel
• 署名单位: University of Edinburgh; Durham University
• 刊物名称: INTERNATIONAL ECONOMIC REVIEW
• ISSN/ISSBN: 0020-6598
• DOI: 10.1111/iere.12551
• 发表日期: 2022
• 页码: 803-829
• 关键词: legal liability; job search; INNOVATION; QUALITY

摘要

This article studies sequential search problems, where a searcher chooses search intensity adaptively in each period. We fully characterize the optimal search rule and value, decomposing the intertemporal change of search intensity into the fall-back value effect and the deadline effect. We show that the optimal search intensity (value) is submodular (supermodular) in fall-back value and time. It follows that the fall-back value effect increases when the deadline approaches, and the deadline effect decreases when a searcher's fall-back value gets higher. We further investigate the connection between search with full and no recall to quantify the value of recall.