Search, Unemployment, and the Production of Jobs
AbstractThe authors investigate the performance of the economy when search is required to find employment and when the duration of unemployment varies across sectors. They assume that in one sector factor markets are frictionless, while in the other se ctor idle factors of production must actively search each other out i n order to produce. They focus on how well the economy allocates work ers across sectors and the conditions under which the factor mix with in a sector is correct. The authors demonstrate that in equilibrium t he search sector is too small and its factor intensity is too asymmet ric. Copyright 1987 by Royal Economic Society.
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Bibliographic InfoArticle provided by Royal Economic Society in its journal The Economic Journal.
Volume (Year): 97 (1987)
Issue (Month): 388 (December)
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- McKenna, C. J., 1996. "Education and the distribution of unemployment," European Journal of Political Economy, Elsevier, vol. 12(1), pages 113-132, April.
- Spiros Bougheas & Carl Davidson & Richard Upward & Peter Wright, . "Structural Adjustment, Turnover and Career Mobility," Discussion Papers 08/23, University of Nottingham, GEP.
- Maxim Bouev, 2005. "State Regulations, Job Search and Wage Bargaining: A Study in the Economics of the Informal Sector," William Davidson Institute Working Papers Series wp764, William Davidson Institute at the University of Michigan.
- Davidson, Carl & Martin, Lawrence & Matusz, Steven, 1999. "Trade and search generated unemployment," Journal of International Economics, Elsevier, vol. 48(2), pages 271-299, August.
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