Abstract:
This paper explores the degree to which imperfect information in
the labour market regarding worker quality is likely to impact employment
opportunities, as well as the wages associated with those opportunities. The
primary purpose of this paper is to provide preliminary empirical evidence
that market imperfections exist in South Africa's labour market, that those
imperfections could be based on asymmetric private information, and that
market participants pursue information gathering and revelation strategies to
help mitigate the negative effects of the information asymmetries.
