Matching Human Capital and Displacement
Traditional analyses of the role of human capital in labour market have focused on theoretical extremes in which capital is either purely match-specific or perfectly transferable. The purpose of this paper is to develop a simple decision-theoretic model that considers this reallocation problem. In our model, the quality of a match between a firm and a worker determines the transferability of previously acquired capital.
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|Date of creation:||1996|
|Date of revision:|
|Contact details of provider:|| Postal: University of Rochester, Center for Economic Research, Department of Economics, Harkness 231 Rochester, New York 14627 U.S.A.|
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