Efficiency in a Search and Matching Model with Training Costs

• Miyamoto Hiroaki

  International University of Japan

Abstract

This paper studies the effciency of the search and matching model with trainingcosts. I incorporate productivity enhancing firm-specific skill training into the searchand matching model of Pissarides (2000). I demonstrate that while the decentralizedeconomy can be efficient if training costs are not sunk at the time of wage determination, the decentralized economy is not efficient due to a hold-up problem if training costs are sunk.

Journal

• Economics & management series

  Economics & management series 2011 1-13, 2011-03

  International University of Japan

Keywords

• Search and matching mode
• Efficiency
• Training

Details

• CRID: 1572543026926235008
• NII Article ID: 110008138813
• NII Book ID: AA12509645
• Text Lang: en
• Data Source:
  • CiNii Articles