Danziger, Leif - Institute for the Study of Labor (IZA) - 2010
This paper provides a model that can account for the almost uniform staggering of wage contracts in some countries as … well as for the markedly nonuniform staggering in others. In the model, short and long contracts as well as long contracts … concluded in different periods are strategic substitutes, which provides a powerful rationale for staggering. We show that for …