When wage contracts are relatively short-lived, rent sharing may reduce the incentives for investment since some of the … returns to sunk capital are captured by workers. In this paper we use a matched worker-firm data set from the Veneto region of … measure the degree of rent sharing and test for holdup. We estimate wage models with job match effects, allowing us to control …

entrepreneurs in new firm creation. Using city-industry variation over four decades, we estimate the employment - wage elasticity to … reflects the congestion externalities predicted by the search literature. Also, holding wages constant, an increase in the … local population is associated with a proportional increase in employment. These results provide indirect information about …

reservation wages to unemployment benefits. Some existing estimates imply significant gains to raising the current level of … unemployment benefits in the United States, but highlight the need for more research on the determinants of reservation wages. Our …This paper argues that a risk-averse worker's after-tax reservation wage encodes all the relevant information about her …

This paper provides quasi-experimental estimates of the causal effect of long-term unemployment on wages. Using … standard job search theory, the paper derives and tests conditions on reemployment wages under which Unemployment Insurance (UI … do not affect the reemployment wages conditional on the month of unemployment exit, implying reservation wages do not …

, we find increases in wages, employment and firm-creation, especially in high-skilled manufacturing and knowledge … increased their employment within 20 minutes of commuting time from the border by four to five percentage points. The increased … inflow was constituted of highly-educated workers and it was associated with an increase in wages for highly-educated Swiss …

differences is that Southern European workers are less likely to find employment following displacement. Loss of employer …-specific wage premiums accounts for 40% to 95% of within-country wage declines. The use of active labor market policies predicts a …

We survey the recent empirical literature on the effects of offshoring on wages, employment and displacement. We start … on wage effects of offshoring: those using industry data, firm data, and worker data. For each wave we highlight the … offshoring across occupations. Finally, we survey the literature that examines how offshoring affects employment and displacement …

, and construction workers. I study the wage and employment responses of these occupations to the housing cycle, a proxy for … employment fluctuations in response to demand shocks by more than 10 to 20 percent compared to completely rigid wages …Many economists suspect that downward nominal wage rigidities in ongoing labor contracts are an important source of …

for which the response of wages is modest relative to the response of employment, as appears to be the case in U.S. data …, for certain parameters, the model can explain both the standard deviations of employment and wages and the correlation …This paper presents a model in which firms recruit both unemployed and employed workers by posting vacancies. Firms act …

Unemployment insurance taxes are experience-rated to penalize firms that dismiss workers. We examine whether experience …