search query: @indexterm fixed costs / total: 59
reference: 5 / 59
| Author: | Rota, P. |
| Title: | Estimating labor demand with fixed costs |
| Journal: | International Economic Review
2004 : FEB, VOL. 45:1, p. 25-48 |
| Index terms: | Dynamic models Fixed costs Labour demand |
| Language: | eng |
| Abstract: | A dynamic model in which companies decide whether or not to vary labour in the presence of fixed costs is considered in this article. By exploiting the first-order condition for optimality, a semireduced form in which companies' intertemporal employment is defined by a standard marginal productivity condition augmented by a forward-looking term. A marginal productivity equilibrium relation that takes into account the future alternatives of adjustment or nonadjustment that companies face is obtained by the author. |
SCIMA