Efficiency in a Search and Matching Model with Training Costs
AbstractThis paper studies the efficiency of the search and matching model with training costs. I incorporate productivity enhancing firm-specific skill training into the search and matching model of Pissarides (2000). I demonstrate that while the decentralized economy can be efficient if training costs are not sunk at the time of wage determination, the decentralized economy is not efficient due to a hold-up problem if training costs are sunk.
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Bibliographic InfoPaper provided by Research Institute, International University of Japan in its series Working Papers with number EMS_2011_09.
Length: 14 pages
Date of creation: Mar 2011
Date of revision:
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More information through EDIRC
Search and matching model; Efficiency; Training;
Other versions of this item:
- Miyamoto, Hiroaki, 2011. "Efficiency in a search and matching model with training costs," Economic Modelling, Elsevier, vol. 28(4), pages 1838-1841, July.
- E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- J40 - Labor and Demographic Economics - - Particular Labor Markets - - - General
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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