Program (by speaker) > Holzner Christian

Many markets are characterized by coordination frictions, e.g. job seekers do not coordinate to which vacancy to apply. We propose to measure coordination frictions by looking at how even applications are distributed across vacancies. We apply our method to evaluate the performance of the Public Employment Agency (PEA) in Germany by comparing the distribution of applicants vacancies receive via the PEA with the distribution of applicants coming via the private market. Our analysis shows that the intermediation services provided by the PEA reduce coordination frictions and that reduced coordination frictions decrease the search duration for vacancies.