I augment the standard large-firm matching model with a firm process of entry and exit. This extension requires the analysis of firm-level dynamics, which I present in this note. I also show the equivalence of the model with the one-worker firm model from Pissarides (2000). JEL: J63.
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Paper provided by Centro de Economía Aplicada, Universidad de Chile in its series Documentos de Trabajo with number
245.
Length: Date of creation: 2008 Date of revision: Handle: RePEc:edj:ceauch:245
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