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. …

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 …

' income riskier, both by increasing the unconditional probability of unusually long unemployment spells, and by making wages …

We provide a matching model where identical workers are embedded in ex-ante identical social networks. Job arrival rate … is endogenous and wages are bargained. We study the evolution of networks over time and characterize the equilibrium … do not necessary induce stickiness in unemployment dynamics. Our endogenous matching technology shows that the effects of …

This paper surveys the use of search and matching models in macroeconomics. It outlines the standard model, discusses …

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 …

This paper provides a simple matching model in which unemployed workers and employers can be matched together trough … social network or trough more formal methods of search. We show that this crowding-out effect may be socially costly. For …

A new methodology is described which tests between various equilibrium theories of unemployment using matching data … identify a matching process using data which is recorded monthly, and also shows how to identify different unemployment … employment agency data for the UK over the period 1985-99. Although the standard random matching approach provides a reasonably …

who suffer involuntary layoffs. Matching and search-island models have labour market frictions and incomplete markets. The …