IDEAS home Printed from https://ideas.repec.org/a/ebl/ecbull/eb-09-00387.html
   My bibliography  Save this article

Search externalities with crowding-out effects

Author

Listed:
  • Bruno Decreuse

    (GREQAM and University of Aix-Marseilles)

Abstract

We consider a static search model with two types of workers, Nash bargaining, and free entry of firms. The matching function is specified so as cross-type congestion effects are asymmetric. Skilled workers create congestion effects for all, while unskilled workers do not affect the odds of employment for the skilled. An increase in the share of skilled workers has two effects on the welfare of the unskilled: a negative crowding-out effect, and a positive labor demand effect. The former (latter) effect dominates whenever the skill differential is small (large).

Suggested Citation

  • Bruno Decreuse, 2010. "Search externalities with crowding-out effects," Economics Bulletin, AccessEcon, vol. 30(4), pages 2751-2758.
    • Handle: RePEc:ebl:ecbull:eb-09-00387
    as

    Download full text from publisher

    File URL: http://www.accessecon.com/Pubs/EB/2010/Volume30/EB-10-V30-I4-P253.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    More about this item

    Keywords

    matching frictions; heterogeneity; congestion effects;
    All these keywords.

    JEL classification:

    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ebl:ecbull:eb-09-00387. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: John P. Conley (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.