| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 7359856 | Journal of Economic Theory | 2014 | 20 Pages |
Abstract
An equilibrium search model of the labor market is combined with a social network. The key features are that the workers' network transmits information about jobs and that wages and firm entry are determined endogenously. Empirically, the inter-industry variation in aggregate matching efficiency is attributed to variation in referral use. The model predicts that the efficiency of the aggregate matching function is pro-cyclical which is consistent with empirical evidence.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Manolis Galenianos,