{% extends "global/Page.html" %} {% load otree static %} {% block title %} Job Search -- Example {% endblock %} {% block content %}

Here is an example: if you are in Round 5, and your current earning is 75 points, the subsidy this round is 5 points. Then, you choose your reservation wage (the minimum wage you would accept) at 5 and sample size of job search at 2. The two job searches will cost you 5 points in total.

After the draw session, you get two job offers, [0,7]. It means that you get wage offer with wage rate at 7 for one draw, and no wage offer for the other draw.

Since 7 is greater than your reservation wage, 5, you get the job and this experimental trial ends.

The payoff is the combination of earning from job search, subsidy, and job search costs:

Earning from job search equals to the wage offer you get, 7, multiple the rest of rounds (including the current round). Since you are in Round 5, the rest of round is (21-5)=16.

Therefore, the earning from job search is (7*16)=112 points.

Subsidy you get from this round is 5 points. Job search cost you have for this round is 5 points.

The payoff is 112 + 5 - 5 = 112 points.

Your total earning will be the combination of current earning and payoffs:

Your current earning this round is 75 points, and payoffs this round is 112 points. Your total earning is 112 + 75 = 187 points.


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