3. Relevance of Corporate Culture

Question 1

How can economic research questions be examined scientifically?

Answer 1

• Theoretical Analysis
  - verbal analytical considerations
• formalization of relationships in a microeconomic model
  - analysis via game and contract theory
• empirical studies
  - field data
  - experiments
  - case studies

Question 2

Observed behavior

Answer 2

• training increases job chances?
• treatment and control group
• -> Self-Selection , no control of other behavior during that time

Question 3

Experiments

Answer 3

• control through randomization
• random assignment to treatment and control group
• no self selection possible
• causal effect can now be determined
  “Treatment effect”