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- W2336347130 abstract "This paper presents an economy in which workers hired by a firm receive without cost a firm-specific training that enables them to potentially become independent producers. Thus, this specific training changes a worker's outside option according to the firm in which he works. Under such circumstances, by modelling explicitly the workers' decision to stay or to leave the firm, the paper determines a stable arning profile of the economy. Two main results are obtained by this approach. Firstly, that such a stable earning profile can allow for a vector of wages higher than the basic neoclassical wage and for wages differentials across industries even for initially homogenous workers; secondly, that an industry equilibrium wage depends upon the relative degree of competition existing therein. Both the results seem to match labour markets empirical evidence. Furthermore, a game-theoretic framework is introduced to characterize a stable earning profile as a particular case of core of an economy with coalitions of players behaving a la Nash in the product market." @default.
- W2336347130 created "2016-06-24" @default.
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- W2336347130 date "1998-06-01" @default.
- W2336347130 modified "2023-09-27" @default.
- W2336347130 title "Earnings, Coalitions and the Stability of the Firm" @default.
- W2336347130 hasPublicationYear "1998" @default.
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