Lin, Chung-cheng; Yang, C.C. - In: Journal of Economic Behavior & Organization 68 (2008) 2, pp. 390-400
This paper models the firm as a community à la Akerlof [Akerlof, G.A., 1980. A theory of social custom, of which unemployment may be one consequence. Quarterly Journal of Economics 94, 749-775] to account for asymmetric behavior and, in particular, downward rigidity of wages. It is shown that,...
