Applicants for any given job are more or less suited to fill it, and the firm will select the best among them. Increasing the wage offer attracts more applicants and makes it possible to raise the hiring standard, thereby improving the productivity of the staff. Wages that optimize on the...

Applicants for any given job are more or less suited to fill it, and the firm will select the best among them. Increasing the wage offer attracts more applicants and makes it possible to raise the hiring standard and improve the productivity of the staff. Wages that optimize on the trade-off...

1. The Setting of the Argument -- 1.1 Two Characteristics of Economic Analysis -- 1.2 The Provisional Nature of Economic Data -- 1.3 Intricacies in Macroeconomic Analysis -- 1.4 Isolation and Aggregation -- 2. On Isolation -- 2.1 The Heuristic View -- 2.2 The Isolating Approach -- 2.3...