How important is imperfect competition in the product market for employment dynamics? To investigate this, we formulate a theoretical model of employment adjustment with imperfect competition in the product market, search frictions, and convex adjustment costs. From this model, we derive a...

How well do alternative labor market theories explain variations in net job creation? According to search-matching theory, job creation in a firm should depend on the availability of workers (unemployment) and on the number of job openings in other firms (congestion). According to efficiency...

How well do alternative labor market theories explain variations in net job creation? According to search-matching theory, job creation in a firm should depend on the availability of workers (unemployment) and on the number of job openings in other firms (congestion). According to efficiency...

Search-matching theory has come to dominate labor economics in recent years, but few attempts have been made to compare the empirical relevance of search-matching theory to efficiency wage and bargaining theories, where employment is determined by labor demand. In this paper we formulate an...

In most countries, there are systematic age and gender differences in labor market outcomes. Older workers and women often have lower employment rates, and the duration of unemployment increases with age. These patterns may reflect age and gender differences in either labor demand (i.e....

We study the recruitment behavior of Swedish employers using data from a stated choice experiment. In the experiment, the employers are first asked to describe an employee who recently and voluntarily left the firm, and then to choose between two hypothetical applicants to invite to a job...

We study the recruitment behavior of Swedish employers using data from a stated choice experiment. In the experiment, the employers are first asked to describe an employee who recently and voluntarily left the firm, and then to choose between two hypothetical applicants to invite to a job...