Showing 1 - 10 of 613
This paper analyses the efficiency of the equilibrium allocation in a matching model with two types of workers and jobs … only perform unskilled jobs. Our first result shows that the equilibrium with ex-post bargaining is never efficient. Second … production technologies. Finally, in an extension we derive a tax scheme that restores efficiency and we show how workers …
Persistent link: https://www.econbiz.de/10010272689
than weakness. We test and confirm Schelling's conjecture in a simple take-it-or-leave bargaining experiment where the …In his classic article An Essay on Bargaining Schelling (1956) argues that ignorance might actually be strength rather …
Persistent link: https://www.econbiz.de/10010282588
-known bargaining solutions. We apply the Nash, the Egalitarian and the Kalai-Smorodinsky bargaining solutions in the small firm …/methodological viewpoint, we extend a somewhat flexible search-matching economy to alternative bargaining solutions. In particular, we prove … search-matching economies. Second, our results show that even though the traditional results of bargaining theory apply in …
Persistent link: https://www.econbiz.de/10010274621
layoff taxes can improve efficiency. We show that inefficient separations can even be fully removed with fixed separation …
Persistent link: https://www.econbiz.de/10010269525
We consider a dual labor market with a frictional formal sector and a competitive informal sector. We show that the size of the informal sector is generally too large compared to the optimal allocation of the workers. It follows that our results give a rationale to informality-reducing policies.
Persistent link: https://www.econbiz.de/10010290000
In this paper we describe the hypothesis of effort-based career opportunities as a situation in which profit maximizing firms create incentives for employees to work longer hours than the bargained ones, by making career prospects dependent on working hours. When effortbased career opportunities...
Persistent link: https://www.econbiz.de/10010262198
We study bilateral bargaining problems with interested third parties, the stakeholders that enjoy benefits upon a … enters bargaining directly. Our results lend support to the tendency towards decentralisation of pay bargaining in the public …
Persistent link: https://www.econbiz.de/10010262598
This paper deals with the effects that intermediation has on strategic behaviour in negotiations. To this end, we use the tools of game theory to analyse how different institutional settings can provide specific strategic incentives and thereby condition the outcome of negotiations. We...
Persistent link: https://www.econbiz.de/10010262705
In this paper we derive an explicit model of negotiations between spouses when utility is (partially) transferable only in case of separation. We show that inefficient separation may occur in equilibrium even under consensual divorce law. This provides theoretical support for the view that...
Persistent link: https://www.econbiz.de/10010262808
In many kinds of bilateral negotiations the resolution of the issues at stake has an impact which extends beyond the remits of the parties directly involved (e.g. labour negotiations in sectors of public interest, where a strike would impact on the public at large). Once this is recognised,...
Persistent link: https://www.econbiz.de/10010262827