Equilibrium search models are useful tools for the evaluation oflabor market policies. Recently developed equilibrium search models of thelabor market are able to fit the wage distribution perfectly with longitudinallabor supply data, by estimating an appropriate distribution of...

Equilibrium search models are useful tools for the evaluation oflabor market policies. Recently developed equilibrium search models of thelabor market are able to fit the wage distribution perfectly with longitudinallabor supply data, by estimating an appropriate distribution of...

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...

This paper examines the use of equilibrium search models in the empiricalanalysis of labor markets. We survey the literature on structural estimationof these models with micro data on wages and durations, and we discuss theadvantages of the equilibrium approach, for policy analysis and...

It is often argued that a mandatory minimum wage is binding only if the wage density displays a spike at it. In this paper we analyze a model with wage setting, search frictions, and heterogeneous production technologies, in which imposition of a minimum wage affects wages even though, after...