Labor market search-and-matching models posit supply-side responses to minimum wage increases that may lead to improved …

Labor market search-and-matching models posit supply-side responses to minimum wage increases that may lead to improved …

Labor market search-and-matching models posit supply-side responses to minimum wage increases that may lead to improved …

minimum wages when firms are financially constrained. We introduce financial frictions into a search and matching labor market … model with stochastic job matching, imperfect information, and endogenous effort. In line with the empirical literature, the …