This paper extends the Diamond (1980) model with labor unions to study optimal income taxation and analyze whether can be desirable for redistribution if taxes are optimized. Unions bargain firms over wages in each sector unilaterally determine employment. Optimal unemployment benefits lower unionized markets. raise efficiency costs of redistribution, because wage demands, thereby generate invo...

This paper provides micro evidence of labor mobility inside business groups. We show that worker flows between firms in the same group are stronger than with unaffiliated firms. Moreover, reallocation top workers is more sensitive to international shocks. Top move within response shocks reach higher positions and earn wages. find suggestive productivity increases when receive same-group workers...

Abstract During our ethnographic fieldwork in Istanbul, we spent most of time wandering the streets Kumkapi neighborhood, where it is possible to spot hundreds Uzbek migrants who reside and/or work there.

a number of authors have investigated whether aggregate and! or local labor market conditions affect college enrollment, hut the results across studies are very inconsistent. there are two shortcomings in the previous studies that may explain the weak correlation between labor market opportunities and college enrollment. first, we will use the unique structure of the hs & b to construct unemplo...

In many decentralized labor markets, job candidates are offered positions at very early stages in the hiring process. It has been argued that these early offers are an effect of the competition between employers for the best candidate. This work studies the timing of offers in a theoretical model based on the classical secretary problem. We consider a secretary problem with multiple employers a...

This paper studies the effectiveness of different types of cohesion policies with respect to convergence of regions. A two-region agentbased macroeconomic model is used to analyze short-, mediumand long-term effects of policies improving human capital and fostering adoption of technologies in lagging regions. With fully integrated labor markets the human capital policy positively affects the ec...

22 In the recent debate over the impact of trade reform on factor markets, it has been argued 23 that trade liberalization will lead to an increase in labor-demand elasticities — thus placing 24 labor markets under increased pressure. Using Turkish plant-level data spanning the course 25 of a dramatic trade liberalization, we test this idea. However, we are unable to find any 26 empirical suppo...