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Costly Search and Recruiting

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Author Info
Howitt, Peter
McAfee, R Preston

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Abstract

A labor market model with costly search and recruiting is constructed. It incorporates many features found in other models and provides new insights into the effects of externalities and transaction costs. The model possesses a continuum of equilibria, some of which may be Pareto-ranked, with different rates of unemployment. Despite the multiplicity of equilibria, comparative-statics results are obtained. Copyright 1987 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

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Publisher Info
Article provided by Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association in its journal International Economic Review.

Volume (Year): 28 (1987)
Issue (Month): 1 (February)
Pages: 89-107
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Handle: RePEc:ier:iecrev:v:28:y:1987:i:1:p:89-107

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  1. Quantitative Macroeconomics and Real Business Cycles (QM&RBC)
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  1. Ludovic Alexandre Julien & Nicolas Sanz, 2006. "Equilibres multiples avec chômage, coûts de transaction et concurrence monopolistique," EconomiX Working Papers 2006-6, University of Paris West - Nanterre la Défense, EconomiX. [Downloadable!]
  2. Aomar Ibourk & Bénédicte Maillard & Sergio Perelman & Henri Sneessens, 2004. "Aggregate Matching Efficiency: A Stochastic Production Frontier Approach, France 1990–1994," Empirica, Springer, vol. 31(1), pages 1-25, March. [Downloadable!] (restricted)
  3. Nicola Giammarioli, 2003. "Indeterminacy and search theory," Working Paper Series 271, European Central Bank. [Downloadable!]
  4. Kenneth Burdett & Randall Wright, 1994. "Two-sided search," Staff Report 169, Federal Reserve Bank of Minneapolis. [Downloadable!]
    Other versions:
  5. Ortigueira, Salvador, 2001. "Unemployment Benefits and the Persistence of European Unemployment," Working Papers 01-16, Cornell University, Center for Analytic Economics. [Downloadable!]
    Other versions:
  6. Eijs,P.,van & Heijke,H., 1996. "The Relation between the Wage, Job-related Training and the Quality of the Match between Occupations and the Types of Education," Research Memoranda 003, Maastricht : ROA, Research Centre for Education and the Labour Market. [Downloadable!]
  7. James W. Boudreau, 2008. "Sequential Pre-Marital Investment Games: Implications for Unemployment," Working papers 2008-45, University of Connecticut, Department of Economics. [Downloadable!]
  8. Ricardo J. Caballero & Mohamad L. Hammour, 1991. "The Cleansing Effect of Recessions," NBER Working Papers 3922, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  9. Godfrey Keller & Kevin Roberts & Margaret Stevens, 2007. "Unemployment, Particiation and Market Size," Economics Series Working Papers 362, University of Oxford, Department of Economics. [Downloadable!]
  10. Dale T. Mortensen, 1988. "The Persistence and Indeterminacy of Unemployment in Search Equilibrium," Discussion Papers 810, Northwestern University, Center for Mathematical Studies in Economics and Management Science. [Downloadable!]
    Other versions:
  11. Li Gan & Qi Li, 2004. "Efficiency of Thin and Thick Markets," NBER Working Papers 10815, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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