wage has risen. We propose an explanation for all three changes that is based on a common source: a decline in labor market … frictions. We develop a simple model with labor market frictions, variable effort, and endogenous wage rigidities to illustrate … observed decline in output volatility. -- labor hoarding ; labor market frictions ; wage rigidities ; effort choice …

Many economists suspect that downward nominal wage rigidities in ongoing labor contracts are an important source of … compares three occupations in the housing sector with very different wage setting institutions, real estate agents, architects …, and construction workers. I study the wage and employment responses of these occupations to the housing cycle, a proxy for …

rank in the firm wage hierarchy. More precisely, I focus on worker mobility between jobs, to compare movers and stayers in … terms of gains/losses in wage level versus gains/losses in rank position. The following questions are addressed: Upon … switching firm, what do workers gain/loose in terms of wage and in terms of rank position? Is there a trade-off between wage and …

This paper provides a model that can account for the almost uniform staggering of wage contracts in some countries as … ; strategic substitutability ; wage contracts ; contract duration …

Nominal wage stickiness is an important component of recent medium-scale structural macroeconomic models, but to date … there has been little microeconomic evidence supporting the assumption of sluggish nominal wage adjustment. We present … evidence on the frequency of nominal wage adjustment using data from the Survey of Income and Program Participation (SIPP) for …

market. We focus on one example: the scarcity of nominal wage cuts. Firms frequently cut real wages of workers, by increasing …, rational model. This pattern suggests that workers exhibit a special resistance to nominal wage cuts, which is hard to explain … if they are purely rational. We argue that strong resistance to nominal wage cuts is best understood in terms of a model …

wage growth. This paper analyzes the sources of the changing shape of the lower-tail of the U.S. wage and employment …

exceeded, and eventually real wage growth began to accumulate for workers across the distribution. In fact, the business cycle … (including recession and recovery) beginning in December 2007 was one of the better periods of real wage growth in many decades …