The introduction of firm size into labor search models raises the question how wages are setwhen average and marginal product differ. We develop and analyze an alternative to theexisting bargaining framework: Firms compete for labor by publicly posting long- termcontracts. In such a competitive...

Whether observed differences in redistributive policies across countries are the result ofdifferences in social preferences or efficiency constraints is an important question that pavesthe debate about the optimality of welfare regimes. To shed new light on this question, weestimate labor supply...

Using nine years of personnel records from a regional grocery store chain in the UnitedStates, this study examines the effect of manager ethnicity on the ethnic composition ofemployment at the firm’s 73 stores. We estimate separate models with store fixed effects forseveral departments and job...

Firms in Kenya rely on technologies such as computers, cell-phones, and generators toovercome constraints associated with regulations, infrastructure, security, workforce,corruption, and finance. This study shows that such reliance has significant positive impactson productivity as measured by...

This paper examines how a change in the generosity of one social assistance programgenerates spillovers onto other social assistance programs. We exploit an age discontinuityin the stringency of the 1993 Dutch disability reforms to estimate the causal effect of exit fromdisability insurance (DI)...

The growing awareness of the issue of corporate social responsibility (CSR) has raised thequestions about how responsible behavior of firms would impact employees’ well-being. Thispaper investigates the link between corporate social responsibility and job satisfaction, whichis a more widely...

This paper proposes an equilibrium theory of the organization of work in an economy with animplicit market for productive time. In this economy, agents have limited productive time andcan choose to produce in autarky, buy productive time from helpers to increase ownproduction or, sell their...

There is clear evidence that fairness plays a role in redistribution. Individuals want tocompensate others for their misfortune, while they allow them to enjoy the fruits of their effort.Such fairness considerations have been introduced in political economy and optimal incometax models with a...

This paper explores the role of country asymmetries for trade and industrial policies withheterogeneous firms. Our analysis delivers a number of novel results. First, trade policies,infrastructure policies and industrial policies which improve the business conditions in onecountry have negative...

Evidence about job mobility outside the U.S. is scarce and difficult to compare crossnationallybecause of non-uniform data. We document job mobility patterns of collegegraduates in their first three years in the labor market, using unique uniform data covering 11European countries and Japan....