This paper incorporates social networks into a frictional labour market framework. There are two worker types and two occupations. Both occupations are subject to correlated business cycle fluctuations in labour demand. The equilibrium in this model is characterized by occupational mismatch...

This paper develops a labour market model with on-the-job search, match-specific productivity draws and an endogenous irreversible schooling decision. The choice of schooling is modeled as an optimal stopping problem which gives rise to the equilibrium heterogeneity of workers with respect to...

This paper incorporates job search through personal contacts into an equilibrium matching model with a segregated labor market. Firms can post wage offers in the regular job market, alternatively they can save on advertising costs and rely on word-of-mouth communication. Wages are then...

This paper incorporates job search through personal contacts into an equilibrium matching model with a segregated labour market. Job search in the public submarket is competitive which is in contrast with the bargaining nature of wages in the informal job market. Moreover, the social capital of...

This paper develops a search model with heterogeneous workers and social networks. High ability workers are more productive and have a larger number of professional contacts. Firms have a choice between a high cost vacancy in the regular labour market and a low cost job opening in the referral...

We study optimal promotion decisions of hierarchical firms, with one junior and one senior managerial position, which interact in a search and matching labour market. Workers acquire experience over time while being employed in a junior position and the firm has to determine the experience level...

We develop a theoretical labour market model with two generations of workers, endogenous social networks of parents and binary schooling choices of children. Since the market skill premium is unobservable, families rely on noisy wage information obtained from their social contacts giving rise to...

"This volume addresses pertinent questions related to cross-border labor migration and puts forward a "labor market" perspective that goes beyond the national frame of reference prevailing in most of the extant labor market scholarship. In four sections, the volume pulls together a number of key...