KTTS3310 Personnel Economics (5 cr)

Study level:
Advanced studies
Grading scale:
English, Finnish
Responsible organisation:
Jyväskylä University School of Business and Economics
Curriculum periods:
2020-2021, 2021-2022, 2022-2023


The course introduces economic approach to human resource management. Topics of the course include: recruitment, personnel development, performance related pay, and job design. The topics are studied with simple models, which help to understand empirical observations.

Learning outcomes

Having passed the course the student can:
Evaluate the effectiveness of various recruitment strategies in different contexts
Explain how asymmetric information affects recruitment
Analyze employer provided training as an investment in different types of human capital
Explain the incidence of human capital investments
Analyze performance evaluation in incentive systems
Evaluate theories of incentive systems
Analyze the complementarity of job design and incentive systems

Additional information

The lectures involve discussions of real-world problems. The problems are handed out in advance and the students will present their analysis and discuss the problems in class. There will be 4 topics


Written assignment (50% of the final marking)
Final exam (50% of the final marking)
Workload (hours)
Lectures 20
Preparing for the lectures 20
Essay 50
Preparing for the exam 40
Exam 3
Total amount 133

Description of prerequisites

Microeconomics I

Study materials

Lazear Edward P. and Gibbs Michael: Personnel Economics in Practice (2014), 3rd ed.
Other readings assigned during the course.

Completion methods

Method 1

Lectures, problem sets, essay, and exam. The course KTTS3310 differs from the course KTTA3310 in that the problem sets and exam are analytically more demanding. The advanced course also requires that the students study the more mathematical parts of the text book as well as some additional readings.
Evaluation criteria:
Essay 50 %, exam 50 %
Select all marked parts
Parts of the completion methods

Participation in teaching (5 cr)

Participation in teaching
Grading scale:
English, Finnish