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Author: | Gaumont, D. Schindler, M. Wright, R. |
Title: | Alternative theories of wage dispersion |
Journal: | European Economic Review
2006 : MAY, VOL. 50:4, p. 831-848 |
Index terms: | equilibrium theory PAY |
Language: | eng |
Abstract: | This article examines labor market models with equilibrium wage dispersion. The models are subject to the condition that if job search is costly, the market shuts down. The authors find that the law of two prices holds as equilibrium implies at most two wages. |
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