This study discusses the nature of adjustment costs, which underlie the dynamic theory of input demand. We examine the implications of the conventional assumption that they are quadratic-symmetric and of various alternatives. A recent rapidly growing literature based on microeconomic data shows...

We remedy several deficiencies in the recent literature on job loss while modernizing the very early job-displacement literature. After constructing a structural model of two-sided learning between a firm and its workers, we estimate it using personnel data from Fokker Aircraft in the...

Wemake several extensions to the recent literature on job loss whilemodernizing the very early job-displacement literature. After constructing a dynamicmodel of two-sided learning between a firm and its workers, we estimate it using personnel data from Fokker Aircraft that cover the path of...