is inefficient relative to the constrained Pareto allocation. Our theory encompasses the outcomes of the random matching …We present a theory of targeted search, where people with a finite information processing capacity search for a match …. Our theory explicitly accounts for both the quantity and the quality of matches. It delivers a unique equilibrium that …

We explore the role of real wage dynamics in a New Keynesian business cycle model with search and matching frictions in … necessarily move with real wages. …

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. …

This paper provides a simple matching model in which unemployed workers and employers in large firms can be matched … necessary to make larger access to the social network efficient. …

We provide a matching model where identical workers are embedded in ex- ante identical social networks. Job arrival … rate is endogeneous and wages are bargained. We study the evolution of networks with time and characterize the equilibrium … necessary induce stickiness in unemployment dynamics. Our endogenous matching technology shows that the effects of networks on …

This paper provides a simple matching model in which unemployed workers and employers in large firms can be matched …

This paper presents a theory of how factor income shares are determined in an environment with labor market frictions …, I first develop microfoundations for an aggregate production function that incorporates a frictional process of matching … workers and firms. Wages are determined by Bertrand style competition between firms whose productivity levels are assumed to …

The labor search and matching model plays a growing role in macroeconomic analysis. This paper provides a critical …? How are wages determined? What role do labor market dynamics play in explaining business cycles and growth? The survey …

We present a competing-auction theory of the labor market, where job candidates auction their labor services to … employers. An equilibrium matching function emerges which has many of the features commonly assumed, including constant returns … numerical values for equilibrium unemployment and wage dispersion. The theory makes the novel prediction that wage dispersion is …