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A matching model with labor/leisure choice and bargaining frictions is used to explain (i) differences in GDP per hour …
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This paper develops and estimates a search and bargaining model designed to measure the welfare loss associated with … frictions in oligopoly markets with negotiated prices. We use the model to quantify the consumer surplus loss induced by the … matching, and the remainder with the search cost …
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This paper develops and estimates a search and bargaining model designed to measure the welfare loss associated with … frictions in oligopoly markets with negotiated prices. We use the model to quantify the consumer surplus loss induced by the … inefficient matching, and the remainder with the search cost. In addition, we find that product differentiation attenuates the …
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