Efficient Wage Dispersion.

In market economies, identical workers appear to receive very different wages, violating the "law of one price" of Walrasian markets. We argue in this paper that in the absence of a Walrasian autioneers to coordinate trade": (i) wage dispersion among identical workers is very often an equilibrium phenomenon, (ii) such dispersion is necessary for market economy to function.

MoreLess

Year of publication:	1997
Authors:	Acemoglu, D. ; Shimer, R.
Institutions:	Economics Department, Massachusetts Institute of Technology (MIT)
Subject:	WAGES \| LABOUR MARKET

Check Google Scholar |

More access options

In German libraries (KVK)

I need help

More details

Series:	Working papers.
Type of publication:	Book / Working Paper
Notes:	36 pages
Classification:	D83 - Search, Learning, Information and Knowledge ; J41 - Contracts: Specific Human Capital, Matching Models, Efficiency Wage Models, and Internal Labor Markets ; J31 - Wage Level and Structure; Wage Differentials by Skill, Training, Occupation, etc
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005574240