We examine theoretically and empirically the properties of the equilibrium wage function and its implications for policy. Our emphasis is on how the researcher approaches economic and policy questions when there is labor market heterogeneity leading to a set of wages. We focus on the application...

Postel-Vinay and Robin' (2002) sequential auction model is extended to allow for aggregate productivity shocks. Workers exhibit permanent differences in ability while firms are identical. Negative aggregate productivity shocks induce job destruction by driving the surplus of matches with low...

The U.S. labor force currently receives 80% of National Income through a variety of cash and in-kind compensation form. Employers use more than 80 different forms of compensation, herein called payment medium, to deliver employee wages. How firms select the set of payment offered to their...

with the compensation policies of firms. This literature is considered from the perspective of three major theories: human capital, learning, and incentives. Considerable empirical work has addressed each of these theories with some success. However, our understanding of the effect of...

Gesetzliche Mindestlöhne sollen nicht nur das Problem "Arm trotz Arbeit" lindern, sondern auch zu mehr Lohngerechtigkeit führen. Kritiker warnen jedoch vor den beschäftigungspolitischen Risiken. Sie schlagen vor, geringe Markteinkommen durch staatliche Transferzahlungen aufzustocken....