Wow—that is a lot of risk. One would need at least an 11% increase in compensation for negotiation to make sense, even if one were risk neutral. And most people are risk averse, meaning they would need an even bigger payoff, which might not be realistic.
Edit: this is not correct—thanks for people pointing that out!
I don’t think that 11% figure is correct. It depends on how long you would stay at the company if you would get the job, and on the time you would be unemployed for if the offer were rescinded.
Wow—that is a lot of risk. One would need at least an 11% increase in compensation for negotiation to make sense, even if one were risk neutral. And most people are risk averse, meaning they would need an even bigger payoff, which might not be realistic.
Edit: this is not correct—thanks for people pointing that out!
It matters less if you time your offers so you have multiple at the same time.
Agreed.
I don’t think that 11% figure is correct. It depends on how long you would stay at the company if you would get the job, and on the time you would be unemployed for if the offer were rescinded.
Good point!