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Specialist vs. Generalist: Efficiency in Multitasking

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  • Buchen, Clemens
  • Kragl, Jenny
  • Palermo, Alberto

Abstract

We show that under multitasking — where tasks can be substitutes or complements — a specialist worker with an uneven skill distribution can outperform a generalist with higher average skills. We use a principal–agent model to study worker efficiency and welfare. The main result is robust if a rent-efficiency trade-off is added.

Suggested Citation

  • Buchen, Clemens & Kragl, Jenny & Palermo, Alberto, 2021. "Specialist vs. Generalist: Efficiency in Multitasking," Economics Letters, Elsevier, vol. 199(C).
    • Handle: RePEc:eee:ecolet:v:199:y:2021:i:c:s0165176520304596
    DOI: 10.1016/j.econlet.2020.109699
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    References listed on IDEAS

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    3. Jenny Kragl & Anja Schöttner, 2014. "Wage Floors, Imperfect Performance Measures, And Optimal Job Design," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 55, pages 525-550, May.
    4. Jed DeVaro & Oliver Gürtler, 2016. "Strategic Shirking: A Theoretical Analysis Of Multitasking And Specialization," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 57, pages 507-532, May.
    5. Holmstrom, Bengt & Milgrom, Paul, 1991. "Multitask Principal-Agent Analyses: Incentive Contracts, Asset Ownership, and Job Design," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 7(0), pages 24-52, Special I.
    6. Edward P. Lazear, 2009. "Firm-Specific Human Capital: A Skill-Weights Approach," Journal of Political Economy, University of Chicago Press, vol. 117(5), pages 914-940, October.
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    10. Becker, Gary S, 1973. "A Theory of Marriage: Part I," Journal of Political Economy, University of Chicago Press, vol. 81(4), pages 813-846, July-Aug..
    11. John S. Hughes & Li Zhang & Jai†Zheng James Xie, 2005. "Production Externalities, Congruity of Aggregate Signals, and Optimal Task Assignments," Contemporary Accounting Research, John Wiley & Sons, vol. 22(2), pages 393-408, June.
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    Cited by:

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    2. Fangqing Zhang & Xiaolong Wu & Shujun Zhang, 2022. "Exploring the Continuous Motivation of Algorithm Engineers under Multiple Objectives: A Mixed-Methods Study," Sustainability, MDPI, vol. 14(22), pages 1-17, November.

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    More about this item

    Keywords

    Multitask model; Incentives; Specialization; Generalist; Skills;
    All these keywords.

    JEL classification:

    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D86 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Economics of Contract Law
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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