We show that in a search/matching model with endogenous participation in which workers are heterogeneous with respect … worker does not internalize the effect of his or her participation on average productivity. …

worker does not internalize the effect of his or her participation on average productivity. -- Search ; matching ; efficiency …We show that in a search/matching model with endogenous participation in which workers are heterogeneous with respect … ; participation ; Hosios rule …

We show that in a search/matching model with endogenous participation in which workers are heterogeneous with respect … worker does not internalize the effect of his or her participation on average productivity …

We show that in a search/matching model with endogenous participation in which workers are heterogeneous with respect … worker does not internalize the effect of his or her participation on average productivity. …

This paper surveys the existing empirical research that uses search theory to empirically analyze labor supply … dynamic optimization theory. We develop a general framework for the labor market where the search for a job involves dynamic … decision making under uncertainty. It can be specialized to be in agreement with most published research using labor search …

for unobserved matching efficacy, without imposing the usual independence assumption between matching efficiency and … the empirical literature estimating the matching function, commonly used to map unemployment and vacancies into hires …. First, we show how to non-parametrically identify the matching function. Second, we estimate the matching function allowing …

This paper surveys the existing empirical research that uses search theory to empirically analyze labor supply … dynamic optimization theory. We develop a general framework for the labor market where the search for a job involves dynamic … decision making under uncertainty. It can be specialized to be in agreement with most published research using labor search …

In a circular matching model, firms rank their applicants and pick the best suited one. Job creation appears to lower … Hosios condition. Due to similar externalities firms' search intensities are too strong whereas workers' search intensities …

In a circular matching model with bargained wages, firms rank their applicants and pick the most suitable one. Job … isomorphism between the two models, these results extend to match-specific productivities. However, competitive search restores … market efficiency. …