Signaling Cooperation

Working Paper: CEPR ID: DP10942

Authors: Matthias Heinz; Heiner Schumacher

Abstract: We examine what an applicant?s vita signals to potential employers about her willingness to cooperate in teams. Intensive social engagement may credibly reveal that an applicant cares about the well-being of others and therefore is less likely to free-ride in teamwork situations. We find that contributions in a public goods game strongly increase in a subject?s degree of social engagement as indicated on her résumé (and rated by an independent third party). Engagement in other domains, such as student or sports associations, is not positively correlated with contributions. In a prediction experiment with human resource managers from various industries, we find that managers use résumé content effectively to predict relative differences in subjects? willingness to cooperate. Thus, young professionals signal important behavioral characteristics to potential employers through the choice of their extracurricular activities.

Keywords: extracurricular activities; labor market; public good; signaling

JEL Codes: C72; C92; D82


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
social engagement on resumes (J20)willingness to cooperate in teams (C71)
resume content (Y60)managers' predictions of contributions (D79)
social engagement (D16)behavioral characteristics (D91)
social engagement on resumes (J20)contributions in public goods game (PGG) (H40)

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