Showing 1 - 10 of 226
We characterize the equilibrium of a search model with a continuum of job and worker types, wage bargaining, free entry of vacancies and on-the-job search. Although on-the-job search reduces the output loss due to frictions, it increases the wage differentials. The decentralized economy with...
Persistent link: https://www.econbiz.de/10012735202
We characterize the equilibrium of a search model with a continuum of job and worker types, wage bargaining, free entry of vacancies and on-the-job search. The decentralized economy with monopsonistic wage setting yields too many vacancies and hence too low unemployment compared to first best....
Persistent link: https://www.econbiz.de/10012736201
In this note I argue that the desirability of fiscal policy in response to the current crisis depends on whether one views the current crisis as a temporary deviation from a unique equilibrium or as a bad equilibrium out of multiple equilibria. The paper presents a simple Diamond (1982) type of...
Persistent link: https://www.econbiz.de/10012718458
This paper estimates the impact of the murder of film maker Theo van Gogh on November 2, 2004, on listed house prices in Amsterdam with a unique dataset. We use an hedonic-market approach to show that general attitudes towards Muslim minorities were negatively affected by the murder....
Persistent link: https://www.econbiz.de/10012777792
We study a search model where workers can send multiple applications to high and low productivity firms. Firms that compete for the same candidate can increase their wage offers as often as they like. We show that there is a unique equilibrium where workers mix between sending both applications...
Persistent link: https://www.econbiz.de/10012780374
We develop a quantitative equilibrium model that features tax deductibility of employer-provided coverage, non-discrimination restrictions, fixed costs of coverage and firms that hire discrete numbers of workers in frictional labor markets. We use the calibrated model to understand what drives...
Persistent link: https://www.econbiz.de/10011080447
We develop a quantitative equilibrium model that features tax deductibility of employer-provided coverage, non-discrimination restrictions, fixed costs of coverage and employers that hire discrete numbers of workers in frictional labor markets. We use the calibrated model to understand what...
Persistent link: https://www.econbiz.de/10011080844
employment and average productivity.
Persistent link: https://www.econbiz.de/10011082078
Two thirds of US unemployment volatility is due to fluctuations in workers' job finding rate. In search and matching models, aggregate productivity shocks generate such fluctuations: through firms recruiting effort, they affect the rate at which workers and firms come into contact....
Persistent link: https://www.econbiz.de/10008504401
If legislating employment protection is a protracted process subject to time delays, then firms can dismiss workers before an increase in protection is implemented. Heightened risk of dismissal before implementation makes workers in countries with flexible labour markets reluctant to support...
Persistent link: https://www.econbiz.de/10005393279