Hu, Luojia (contributor); Taber, Christopher (contributor) - 2007
looking at changes in
wages for white-collar workers.
1
Since a layoff provides a negative signal about ability, one
would … expect wages to fall more following a layoff than for a plant closing. Gibbons and Katz
confirm this prediction in the data … the main prediction of the GK model holds up. White men lose
approximately 6 percent of their wages at plant closings …