← Search

Journal of Labor Economics Vol. 28 No. 2 2010

Recruitment Restrictions and Labor Markets: Evidence from the Postbellum U.S. South

Suresh Naidu

Harvard University Press

Abstract

This article studies the effect of recruitment restrictions on mobility and wages in the postbellum U.S. South. I estimate the effects of criminal fines charged for “enticement” (recruiting workers already under contract) on sharecropper mobility, tenancy choice, and agricultural wages. I find that a $13 (10%) increase in the enticement fine lowered the probability of a move by black sharecroppers by 12%, daily wages by 1 cent (.1%), and the returns to experience for blacks by 0.6% per year. These results are consistent with an on‐the‐job search model, where the enticement fine raises the cost of recruiting an employed worker.

DOI
10.1086/651512
Volume
28
Issue
2
Pages
413-445
Language
en
Sources
openalex crossref

Cite