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Loss of Skill and Retraining in a Matching Model

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  • Julen Esteban-Pretel

    (Faculty of Economics, University of Tokyo)

Abstract

This is a matching model with two types of skills, low and high, where the high skill is acquired through training in schools, the introduction of which is the main innovation of this paper. The search externalities make the competitive equilibrium differ from the social planners steady state and in order to make the decentralized economy efficient, some public policies are studied along with their viability.

Suggested Citation

  • Julen Esteban-Pretel, 2005. "Loss of Skill and Retraining in a Matching Model," CIRJE F-Series CIRJE-F-353, CIRJE, Faculty of Economics, University of Tokyo.
    • Handle: RePEc:tky:fseres:2005cf353
    as

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    File URL: http://www.cirje.e.u-tokyo.ac.jp/research/dp/2005/2005cf353.pdf
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    References listed on IDEAS

    as
    1. James Albrecht & Susan Vroman, 2002. "A Matching Model with Endogenous Skill Requirements," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(1), pages 283-305, February.
    2. Larsen, Birthe, 2001. "Minimum wages, technological progress and loss of skill," European Economic Review, Elsevier, vol. 45(8), pages 1521-1544, August.
    3. Christopher A. Pissarides, 1992. "Loss of Skill During Unemployment and the Persistence of Employment Shocks," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(4), pages 1371-1391.
    Full references (including those not matched with items on IDEAS)

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