Labor specialization as a source of market frictions
"This paper investigates why labor specialization brings additional frictions to the labor market. The intuition is that labor specialized firms rely on complementarity and firm-specific human capital, assigning high value to the worker-employer match. Consistent with employees' importance...
| Main Author: | |
|---|---|
| Institution: | ETUI-European Trade Union Institute |
| Format: | TEXT |
| Language: | English |
| Published: |
London
2018
LSE |
| Subjects: | |
| Online Access: | https://www.labourline.org/KENTIKA-19306187124911243699-Labor-specialization-as-a-sour.htm |
| _version_ | 1771659895044571136 |
|---|---|
| author | Molina-Domene, Maria |
| author_facet | Molina-Domene, Maria |
| collection | Library items |
| description | "This paper investigates why labor specialization brings additional frictions to the labor market. The intuition is that labor specialized firms rely on complementarity and firm-specific human capital, assigning high value to the worker-employer match. Consistent with employees' importance, the findings show that specialized firms preserve their workforce: these firms labor hoard and increase wages during slow-downs. Additionally, when specialized firms unexpectedly face a labor supply shock | albeit managing to decrease the wages of the remaining co-workers, they become less productive. Overall, the empirical evidence suggests that frictions introduce bilateral monopoly rents. " |
| format | TEXT |
| geographic | Germany |
| id | 19306187124911243699_ca3b4c99e4144336959268af25de213d |
| institution | ETUI-European Trade Union Institute |
| is_hierarchy_id | 19306187124911243699_ca3b4c99e4144336959268af25de213d |
| is_hierarchy_title | Labor specialization as a source of market frictions |
| language | English |
| physical | 36 p. Digital |
| publishDate | 2018 |
| publisher | London LSE |
| spellingShingle | Molina-Domene, Maria labour market division of labour human capital wages Labor specialization as a source of market frictions |
| thumbnail | https://www.labourline.org/Image_prev.jpg?Archive=137376895555 |
| title | Labor specialization as a source of market frictions |
| topic | labour market division of labour human capital wages |
| url | https://www.labourline.org/KENTIKA-19306187124911243699-Labor-specialization-as-a-sour.htm |