A common view in the literature is that the director labor market provides an ex post settling-up for past decisions by rewarding CEO ability and actions that are consistent with shareholder interests. In this paper we focus on large CEO acquisition decisions to investigate whether the director labor market offers ex post settling-up for value destroying decisions. Prior studies have found that...

Determining the effects of labor institutions on macroeconomic performance is a central concern of economic policymakers. Differences in labor institutions have been conjectured to be a key explanation for observed crosscountry differences in the level and persistence of unemployment, in the distribution of income and wealth, and in growth rates for labor productivity and GDP. European OECD cou...

In this paper, we examine whether the imperfections in the credit market spill over to the labor market. We examine the case of a country that experienced a very high degree of imperfections in the financial markets, but underwent substantial changes in 1992 due to the liberalization brought by the European unification and other institutional changes. Italy is therefore a good laboratory to stu...

Established migration theories are mostly based on capitalist market economies and downplay the role of institutions in internal migration and labor market processes. In socialist and transitional economies such as those in Russia and China, however, investigations of migration and the labor market must begin by examining the nature and consequences of state institutions. In this article, I arg...

This paper examines interactions between the labor market and crime. It seems reasonable to believe that changes in policy or technologies that affect the labor market might affect the extent of criminal activities, and vice versa–changes in the crime sector can affect the labor market. To analyze these interactions we construct a search-theoretic model where labor market outcomes and crimes ar...

This paper proposes a multi-industry trade model with integrated capital and goods markets. Labor market imperfections in line with Mortensen and Pissarides (Job Creation and Job Destruction in the Theory of Unemployment, 1994) give rise to unemployment and a channel for the government to influence markets through institutional changes. Labor market interventions feedback into the product marke...

We study whether the effects on registered manufacturing output of dismantling the License Raj — a system of central controls regulating entry and production activity in this sector — vary across Indian states with different labor market regulations. The effects are found to be unequal across Indian states with different labor market regulations. In particular, following delicensing, industries...

This paper presents an easily understood example of a labor market that is useful in introducing how wages and rents are determined, using professional baseball as the context. The mechanics of a competitive labor market are outlined and an empirical analysis of the major league baseball (MLB) labor market is described. An example out-of-class exercise investigating whether baseball player sala...