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Imperfect Competition in the Labour Market

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  • Alan Manning

Abstract

It is increasingly recognized that labour markets are pervasively imperfectly competitive, that there are rents to the employment relationship for both worker and employer. This chapter considers why it is sensible to think of labour markets as imperfectly competitive, reviews estimates on the size of rents, theories of and evidence on the distribution of rents between worker and employer, and the areas of labour economics where a perspective derived from imperfect competition makes a substantial difference to thought.

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Paper provided by Centre for Economic Performance, LSE in its series CEP Discussion Papers with number dp0981.

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Date of creation: May 2010
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Handle: RePEc:cep:cepdps:dp0981

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Keywords: Imperfect competition; labour markets; rents; search; matching; monopsony;

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