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The Effect of Implicit Contracts on the Wages: Evidence from Japanese Labor Market


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  • Koyo Miyoshi

    (Global Center of Excellence Program, Department of Economics, Keio University)

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    This paper tests whether wages in Japanese Labor market are determined by current labor market condition or by past labor market conditions. following Beaudry and DiNardo (1991) which analyze U.S males. In contrast to previous findings for Canada and the U.S., implicit contract models with costless mobility are rejected for the Japanese labor market. Implicit contract models with costly mobility describe the Japanese labor market better than models with costless mobility and spot market models.

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    Bibliographic Info

    Paper provided by Keio/Kyoto Joint Global COE Program in its series Keio/Kyoto Joint Global COE Discussion Paper Series with number 2008-038.

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    Length: 13 pages
    Date of creation: 2008
    Date of revision:
    Handle: RePEc:kei:dpaper:2008-038

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