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Partial Equal Treatment in Wage Offers

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  • Kawamura, Kohei
  • Sákovics, József

Abstract

We analyse a labour matching model with wage posting, where- refl ecting institutional constraints-fi rms cannot dfferentiate their wage offers within certain subsets of workers. Inter alia, we find that the presence of impersonal wage offers leads to wage compression, which propagates to the wages for high productivity workers who receive personalised offers.

Suggested Citation

  • Kawamura, Kohei & Sákovics, József, 2013. "Partial Equal Treatment in Wage Offers," SIRE Discussion Papers 2013-06, Scottish Institute for Research in Economics (SIRE).
    • Handle: RePEc:edn:sirdps:434
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    File URL: http://hdl.handle.net/10943/434
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    References listed on IDEAS

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    1. Vera Brenčič, 2012. "Wage posting: evidence from job ads," Canadian Journal of Economics, Canadian Economics Association, vol. 45(4), pages 1529-1559, November.
    2. Fuhito Kojima, 2007. "Matching and Price Competition: Comment," American Economic Review, American Economic Association, vol. 97(3), pages 1027-1031, June.
    3. Muriel Niederle, 2007. "Competitive Wages in a Match with Ordered Contracts," American Economic Review, American Economic Association, vol. 97(5), pages 1957-1969, December.
    4. Jeremy Bulow & Jonathan Levin, 2006. "Matching and Price Competition," American Economic Review, American Economic Association, vol. 96(3), pages 652-668, June.
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    6. Robert E. Hall & Alan B. Krueger, 2010. "Evidence on the Determinants of the Choice between Wage Posting and Wage Bargaining," NBER Working Papers 16033, National Bureau of Economic Research, Inc.
    7. Konishi, Hideo & Sapozhnikov, Margarita, 2008. "Decentralized matching markets with endogenous salaries," Games and Economic Behavior, Elsevier, vol. 64(1), pages 193-218, September.
    8. Azevedo, Eduardo M., 2014. "Imperfect competition in two-sided matching markets," Games and Economic Behavior, Elsevier, vol. 83(C), pages 207-223.
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