Unreported labour by one worker in a firm increases the probability of detection for his fellow workers, not only for himself. The firm takes this external effect into account. As a consequence, unreported work becomes rationed by the firms demand, rather than determined by demand equal supply....

This paper presents an economic model of prostitution, which differs from the existing literature in that it makes no restrictive assumptions regarding the gender, pay, and nature of forgone earning opportunities of prostitutes and clients, and applies the same behavioural hypotheses to both....

Adjustment costs of labour motivates a dynamic labour demand equation which is estimated using different methods on a panel data set of 6281 Norwegian manufacturing firms from 1974-91.

Using panel data for the Norwegian manufacturing, we revisit " the increasing returns to scale puzzle" for labour input. We consider the response of the input of white collar workers, blue collar workers, and blue collar worker hours to permanent changes in output. Permanent and temporary...

As is known from the economic literature, the notion of negative/positive duration dependence defined in terms of a decreasing/increasing hazard function can solely be used as a basis for revealing whether negative/positive duration dependence is present or not. However, when concern is directed...

We analyze how frictions in the labour market influence the accumulation of general human capital. We find that investments in human capital benefits future employers, and that this positive externality leads to under-investments in human capital, and possibly top multiple, Pareto rankable...