The DOI matches its Crossref record; 1 of the 1 references it cites were found in a registry or an index.
Hierarchies and the Organization of Knowledge in Production
Open accessAbstract
This paper studies how communication allows for the specialized acquisition of knowledge. It shows that a knowledge-based hierarchy is a natural way to organize the acquisition of knowledge when matching problems with those who know how to solve them is costly. In such an organization, production workers acquire knowledge about the most common or easiest problems confronted, and specialized problem solvers deal with the more exceptional or harder problems. The paper shows that the model is consistent with stylized facts in the theory of organizations and uses it to analyze the impact of changes in production and information technology on organizational design.
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“Garicano (2000) establishes the seminal framework in which hierarchy emerges endogenously to economize on knowledge acquisition costs: workers handle routine problems independently while escalating exceptional cases to more knowledgeable experts, and the optimal span of control balances the benefits of knowledge specialization against communication costs.”
From Generative AI and Organizational Structure in the Knowledge Economy (2025) · cites this paper as Garicano 2000
In the citing paper
“A canonical form is the 'knowledge-based hierarchy,' in which lower-level workers handle routine problems while escalating more complex cases to higher layers of expertise”
From Generative AI and Organizational Structure in the Knowledge Economy (2025) · cites this paper as Garicano 2000
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Citations
Cites
Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education
Becker, G. S. (1993) · doi:10.7208/chicago/9780226041223.001.0001 · Cited by 4,509
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Goldfarb, A., & Tucker, C. (2019) · Journal of Economic Literature · doi:10.1257/jel.20171452 · Cited by 2,744
Skills, Tasks and Technologies: Implications for Employment and Earnings
Acemoglu, D., & Autor, D. (2010) · doi:10.3386/w16082 · Cited by 2,180
The Growing Importance of Social Skills in the Labor Market*
Deming, D. J. (2017) · The Quarterly Journal of Economics · doi:10.1093/qje/qjx022 · Cited by 1,727
Does Management Matter? Evidence from India *
Bloom, N., Eifert, B., Mahajan, A., McKenzie, D., & Roberts, J. (2013) · The Quarterly Journal of Economics · doi:10.1093/qje/qjs044 · Cited by 1,418
Metadata
- Authors
- Garicano, L.
- Venue
- Journal of Political Economy
- Publisher
- University of Chicago Press
- Published
- 2000-10
- Volume
- 108
- Issue
- 5
- Pages
- 874-904
- ISSN
- 0022-3808 (ISSN-L)
- 1537-534X
- OpenAlex
- W3124613120
- Cited by
- 1,194
- References
- 1
- FWCI
- 22.77
- Type
- journal article
- Language
- en
- Open access
- green
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Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
