Many acts of sacrifice cannot be accounted for as instances of sophisticated selfishness, altruism, Kantian duty, or collusion of the powerful. Economists find these acts puzzling and seek to accomodate them within standard instrumental models of increasing complexity. The paper argues in favor...

We propose a dynamic model of decentralized many-to-one matching in the context of a competitive labor market. Through wage offers and wage demands, firms compete over workers and workers compete over jobs. Firms make hire-and-fire decisions dependent on the wages of their own workers and on the...

We propose a dynamic model of decentralized many-to-one matching in the context of a competitive labor market. Through wage offers and wage demands, firms compete over workers and workers compete over jobs. Firms make hire-and-fire decisions dependent on the wages of their own workers and on the...