Showing 1 - 9 of 9
In this paper we construct a simple model of the effects of immigration on the labour market outcomes of natives. In this model, skilled and unskilled labour are substitutes, immigrants are complementary to the former, and wages are determined by bargaining. We are able to prove that,...
Persistent link: https://www.econbiz.de/10005497951
In this paper we develop a fully game-theoretic version of the right-to-manage model of firm-level bargaining where strategic interactions among firms are explicitly recognized. Our main aim is to investigate how equilibrium wages and employment react to changes in the labour and product...
Persistent link: https://www.econbiz.de/10005656145
This paper presents a case study on reforming a very dysfunctional labour market with a deep insider-outsider divide, namely the Spanish case. We show how a dual market, with permanent and temporary employees makes real reform much harder, and leads to purely marginal changes that do not alter...
Persistent link: https://www.econbiz.de/10009364997
Unlike many other contracts, employment contracts are subject to various external administrative procedures governing separations, ranging from compulsory severance payments and advance notice periods (usually seniority based), to collective layoff procedures (usually depending on the firm's...
Persistent link: https://www.econbiz.de/10005124206
The spatial dispersion of economic agents is an immediate determinant of informational imperfections. We investigate how this dispersion creates search frictions and thus rationing. For that, we develop a model of local labour markets in which workers' search efficiency is negatively affected by...
Persistent link: https://www.econbiz.de/10005656179
This paper analyzes the strikingly different response of unemployment to the Great Recession in France and Spain. Their labor market institutions are similar and their unemployment rates just before the crisis were both around 8%. Yet, in France, unemployment rate has increased by 2 percentage...
Persistent link: https://www.econbiz.de/10008784761
Assuming that job search efficiency decreases with distance to jobs, workers’ location in a city depends on spatial elements such as commuting costs and land prices and on labour elements such as wages and the matching technology. In the absence of moving costs, we show that there exists a...
Persistent link: https://www.econbiz.de/10005114164
This paper analyzes the effect of having a large gap in firing costs between permanent and temporary workers in a dual labour market on TFP development at the firm level. We propose a simple model showing that, under plausible conditions, both temporary workers' effort and firms' temp-to-perm...
Persistent link: https://www.econbiz.de/10011083282
This Paper considers a matching model of heterogeneous workers and jobs, which includes on-the-job search. High-educated workers transitorily accept unskilled jobs and continue to search for skilled jobs. We study the implications of this model for the unemployment rates of high and low-educated...
Persistent link: https://www.econbiz.de/10005791697