This paper studies the effects of information sharing about vacancies among young job seekers. It tracks the information-sharing partners of the young job seekers who take part in a Randomized Controlled Trial of a transport subsidy program in Addis Ababa, Ethiopia. Treated individuals search for work more often as a result of this intervention. However, this study finds that their information-sharing partners reduce their job search efforts compared the partners of untreated job seekers. This is not because they now acquire more information about vacancies from their treated friends. Instead, there is less information sharing between treated individuals and their job search partners. The paper presents suggestive evidence that this may be because cooperation in job search becomes harder when one job seeker has access to more resources than the other.
Stefano Caria, Simon Franklin, Marc Wittez (2016) Searching with Friends
Searching with Friends