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wages are determined by continuous bargaining between the firm and its employees. The model generates a non …
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This paper characterizes the equilibrium for a large class of search models with two-sided heterogeneity and on-the-job search. Besides the well-known congestion externalities, we show that on-the-job search in combination with monopsonistic wage setting without commitment creates a...
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following conclusions:1.Firms partially compensate workers for the incurred commuting costs.2.When workers have more bargaining …
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