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In this paper, we introduce two sources of unemployment in a two-factor general equilibrium model: search frictions and fairness considerations. We find that a binding fair-wage constraint increases the unskilled unemployment rate and can at the same time lead to a higher unemployment rate for...
Persistent link: https://www.econbiz.de/10003831919
In most Western, industrialised countries the workforce is ageing rapidly. In order to assess the possible consequences … of an ageing workforce, this paper measures the impact of changes in the age structure of establishments on productivity … deviations point to important variation in the age productivity profile among establishments. -- ageing workforce ; age …
Persistent link: https://www.econbiz.de/10003835100
"We model unemployment allowing workers to differ by comparative advantage in market work. Workers with comparative advantage are identified by who works more hours when employed. This enables us to test the model by grouping workers based on their long-term wages and hours from panel data. The...
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The paper explains how workers' expectations of being discriminated against can be self-confirming, accounting for the persistence of unequal outcomes in the labour market even beyond the causes that originally generated them. The theoretical framework used is a two-stage game of incomplete...
Persistent link: https://www.econbiz.de/10003904618