Mobility Costs, Frictional Unemployment, and Efficiency
Mobility Costs, Frictional Unemployment, and Efficiency
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DOI:
10.1086/261003
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发表时间:
1981-08
影响因子:
8.2
通讯作者:
P. Diamond
中科院分区:
文献类型:
--
作者:
P. Diamond
With imperfect job information flows, it is plausible that the distribution of job offerings becomes more attractive when there are more vacancies and more unemployed. With word-of-mouth communication, this condition is derived. Given this condition, steady-state equilibrium is not efficient, with welfare increased by the introduction of unemployment compensation even though all agents are risk neutral. In this way workers become more selective in the jobs they accept.