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in labor markets by compelling workers and firms to reveal normally hidden credentials, such as criminal background … clearinghouses, resolve coordination and collective action failures in markets by tightly controlling -- even monopolizing -- the …; workers cannot, for example, elect to suppress their criminal records and firms cannot opt out of collective bargaining. I …
Persistent link: https://www.econbiz.de/10012758355
Wage setters take into account the future consequences of their current wage choices in the presence of downward nominal wage rigidities. Several interesting implications arise. First, a closed-form solution for a long-run Phillips curve relates average unemployment to average wage inflation;...
Persistent link: https://www.econbiz.de/10012759324
of which contribute to the Danish labor markets behaving quite differently from those in many other European countries … important aspect of the functioning and flexibility of the labor markets in Denmark: the high level of worker mobility. We show … the trend towards a more decentralized wage determination. The shift towards decentralized wage bargaining has coincided …
Persistent link: https://www.econbiz.de/10012760107
In this paper we consider a home government with political pressure to restrict trade, at the expense of foreigners. The foreign country is compensated with an income transfer, which can be thought of as a portion of the tariff revenues or quota rents. In this setting the two countries should...
Persistent link: https://www.econbiz.de/10012760276
trading and bargaining …
Persistent link: https://www.econbiz.de/10012760581
tractable relation for wage dynamics that is a natural generalization of the period-by-period Nash bargaining outcome in the … conventional formulation. An interesting side-product is the emergence of spillover effects of average wages on the bargaining …
Persistent link: https://www.econbiz.de/10012760666
Shimer (2005) pointed out that although we have a satisfactory theory of why some workers are unemployed at any given time, we don?t know why the number of unemployed workers varies so much over time. The basic Mortensen-Pissarides (1994) model does not generate nearly enough volatility in...
Persistent link: https://www.econbiz.de/10012761769
Country incentives to participate in cooperative arrangements which either fully or partially internalize climate change externalities from carbon emissions involve critical asymmetries. Small countries trade off own country costs of carbon mitigation actions against their own benefits from...
Persistent link: https://www.econbiz.de/10012750979
In a simple model of capital budgeting in a diversified firm where headquarters has limited power, we show that funds are allocated towards the most inefficient divisions. The distortion is greater the more diverse are the investment opportunities of the firm's divisions. We test these...
Persistent link: https://www.econbiz.de/10012783969
Social norms have the potential to alter the functioning of economic markets. We test whether norms shape the aggregate … labor supply curve by leading decentralized individuals to maintain wage floors in their local labor markets. We partner … with existing employers who create new jobs for workers in informal spot labor markets. Unemployed workers would like to …
Persistent link: https://www.econbiz.de/10012869538