Showing 1 - 10 of 5,883
This paper is the first to show theoretically and empirically how firms' production technology affects the choice of their preferred wage formation regime. Our theoretical framework predicts, first, that the larger the total factor productivity of a firm, the more likely it is to opt for...
Persistent link: https://www.econbiz.de/10010360962
We analyze optimal labor contracts when the worker is inequity averse towards the employer. Welfare is maximized for an equal sharing rule of surplus between the worker and the firm. That is, profit sharing is optimal even if effort is contractible. If the firm can make a take-it-or leave-it...
Persistent link: https://www.econbiz.de/10010341624
Persistent link: https://www.econbiz.de/10000803776
Persistent link: https://www.econbiz.de/10011747532
In this paper we investigate the incentives of unemployed workers to wait for a recall when recall probabilities are endogenously determined by the waiting decisions of others. Because of a positive externality that arises when workers seek new employment, an excessive number of workers choose...
Persistent link: https://www.econbiz.de/10011409750
equilibrium is equivalent to the efficient bargaining outcome. In a dynamic framework with search frictions, we demonstrate that …
Persistent link: https://www.econbiz.de/10013000751
equilibrium is equivalent to the efficient bargaining outcome. In a dynamic framework with search frictions, we demonstrate that …
Persistent link: https://www.econbiz.de/10012999534
Persistent link: https://www.econbiz.de/10000841631
Persistent link: https://www.econbiz.de/10000785905
Persistent link: https://www.econbiz.de/10000803474