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The Labor Market and Corporate Structure

Author

Listed:
  • Acemoglu, D.
  • Newman, A.F.

Abstract

We analyze the impact of labor demand and labor market regulations on the corporate structure of firms. We find that higher wages are associated with lower monitoring, irrespective of whether these high wages are caused by labor market regulatio ns, unions or higher labor demand. These comparative static results are in line with the broad trends in the data.

Suggested Citation

  • Acemoglu, D. & Newman, A.F., 1997. "The Labor Market and Corporate Structure," Working papers 97-8, Massachusetts Institute of Technology (MIT), Department of Economics.
    • Handle: RePEc:mit:worpap:97-8
    as

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    References listed on IDEAS

    as
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    More about this item

    Keywords

    EFFICIENCY ; WAGES ; MORAL HAZARD ; CORPORATIONS ; REGULATIONS;
    All these keywords.

    JEL classification:

    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production

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