Berger, David; Herkenhoff, Kyle; Kostøl, Andreas Ravndal; … - National Bureau of Economic Research - 2023
We contribute a theory in which three channels interact to determine the degree of monopsony power and therefore the wedge between a worker's spot wage and her marginal product (henceforth, the wage markdown): (1) heterogeneity in worker-firm-specific preferences (nonwage amenities), (2) firm...