American Economic Review Vol. 102 No. 1 2012
Contracts versus Salaries in Matching
Abstract
Firms and workers may sign complex contracts that govern many aspects of their interactions. I show that when firms regard contracts as substitutes, bargaining over contracts can be understood as bargaining only over wages. Substitutes is the assumption commonly used to guarantee the existence of stable matchings of workers and firms. JEL: C78, D86, J31, J41
- DOI
- 10.1257/aer.102.1.594
- Volume
- 102
- Issue
- 1
- Pages
- 594-601
- Language
- en
- Sources
- openalex crossref bibtex:phds-export.bib