endogenize the demand and supply of skills. We explicitly introduce the costs and externalities in education, and examine how … demand: the complementarity between technology and skilled and unskilled labor. Our results identify parameters that are …

This paper provides a novel microeconomic foundation for pecuniary human capital externalities in a labor market model …. -- Externalities ; human capital ; multiple equilibria …

This paper provides a novel microeconomic foundation for pecuniary human capital externalities in a labor market model …

levels? This paper aims to examine these issues with a particular focus on the importance of externalities. Externalities are … defined as region-specific economic effects influencing firm efficiency. These externalities can be broadly divided in the … following categories: i) urbanization economies which relate to diversity and density (Jacobs externalities), ii) localization …