This paper presents a theory explaining the labor market matching process through microeconomic incentives. There are … quit decisions. This approach obviates the need for a matching function. On this theoretical basis, we argue that the … matching function is vulnerable to the Lucas critique. Our calibrated model for the U.S. economy can account for important …

The labor search and matching model plays a growing role in macroeconomic analysis. This paper provides a critical …

This paper tests whether aggregate matching is consistent with unemployment being mainly due to search frictions or due … to job queues. Using U.K. data and correcting for temporal aggregation bias, estimates of the random matching function … are consistent with previous work in this field, but random matching is formally rejected by the data. The data instead …

Does the search and matching model fit aggregate U.S. labor market data? While the model has become an important tool …

underlying theory is the search and matching model, with workers and firms engaging in costly search leading to random matching … from it, generated by matching. …

negative time trend in estimated matching functions. In addition, the full nonlinear combined model generates highly asymmetric …

, in speeding up the matching process between unemployed and vacant jobs. The analysis is conceptually rooted in the flow …-based view underlying the reforms, estimating the structural features of the matching process. The results indicate that the … reforms indeed had an impact in making the labor market more dynamic and accelerating the matching process. …

We present a Search and Matching model with heterogeneous workers (entrants and incumbents) that replicates the …