Displacement, Asymmetric Information, and Heterogeneous Human Capital

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Displacement, Asymmetric Information, and Heterogeneous Human Capital

Abstract In a seminal paper, Gibbons and Katz (1991) develop and empirically test an asymmetric information model of the labor market. The model predicts that wage losses following displacement should be larger for layoffs than for plant closings, which was borne out by data from the Displaced Workers Survey (DWS). In this paper, we take advantage of many more years of DWS data to examine how t...

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Displacement , Asymmetric Information and Heterogeneous Human Capital 1

In a seminal paper Gibbons and Katz (1991; GK) develop and empirically test an asymmetric information model of the labor market. The model predicts that wage losses following displacement should be larger for layo¤s than for plant closings, which was borne out by data from the Displaced Workers Survey (DWS). In this paper, we take advantage of many more years of DWS data to examine how the di¤e...

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ژورنال

عنوان ژورنال: Journal of Labor Economics

سال: 2011

ISSN: 0734-306X,1537-5307

DOI: 10.1086/656373