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Neoclassical and Sociological Perspectives on Segmented Labor Markets

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  • Kevin Lang
  • William T. Dickens

Abstract

Neoclassical theory has been misrepresented in the segmented economy literature. Consequently, most tests of "structural" vs. "neoclassical" models are inadequate. Moreover, segmented economy theorists have concentrated on the least significant departures of segmented models from neoclassical economics. In fact, neoclassical economists have developed elements of a segmented labor market model which is similar to the segmented economy theories. We sketch this model and argue that the neoclassical model gives a precise meaning to the concept of dual or segmented labor markets but does not suggest that a classification system for job characteristics must rely on a single dimension.

Suggested Citation

  • Kevin Lang & William T. Dickens, 1987. "Neoclassical and Sociological Perspectives on Segmented Labor Markets," NBER Working Papers 2127, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:2127
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    References listed on IDEAS

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    2. José Ignacio Uribe & Carlos Humberto Ortiz & Gustavo Adolfo García, 2007. "La segmentación del mercado laboral colombiano en la década de los noventa," Revista de Economía Institucional, Universidad Externado de Colombia - Facultad de Economía, vol. 9(16), pages 189-221, January-J.
    3. Carlos Humberto Ortiz & José Ignacio Uribe & Érika Raquel Badillo, 2009. "Segmentación inter e intrarregional en el mercado laboral urbano de Colombia, 2001-2006," Revista ESPE - Ensayos sobre Política Económica, Banco de la Republica de Colombia, vol. 27(58), pages 194-231, August.
    4. Erica L. Groshen, 1988. "Why do wages vary among employers?," Economic Review, Federal Reserve Bank of Cleveland, vol. 24(Q I), pages 19-38.
    5. Vegas, Emiliana & Ganimian, Alejandro, 2018. "Theory and Evidence on Teacher Policies in Developed and Developing Countries," IDB Publications (Working Papers) 4597, Inter-American Development Bank.

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