Imperfect Competition, Compensating Differentials, and Rent Sharing in the US Labor Market

We quantify the importance of imperfect competition in the US labor market by estimating the size of labor market rents earned by American firms and workers. We construct a matched employer-employee panel dataset by combining the universe of US business and worker tax records for the period 2001–2015. Using this panel data, we identify and estimate an equilibrium model of the labor market with two-sided heterogeneity where workers view firms as imperfect substitutes because of heterogeneous preferences over nonwage job characteristics. The model allows us to draw inference about imperfect competition, worker sorting, compensating differentials, and rent sharing. (JEL D24, H24, H25, J22, J24, J31, J42)

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Imperfect Competition, Compensating Differentials and Rent Sharing in the U.S. Labor Market

10.3386/w25954 ◽

2019 ◽

Cited By ~ 12

Author(s):

Thibaut Lamadon ◽

Magne Mogstad ◽

Bradley Setzler

Keyword(s):

Labor Market ◽

Imperfect Competition ◽

Compensating Differentials ◽

Rent Sharing ◽

The U.S

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Imperfect Competition, Compensating Differentials and Rent Sharing in the U.S. Labor Market

SSRN Electronic Journal ◽

10.2139/ssrn.3400197 ◽

2019 ◽

Cited By ~ 1

Author(s):

Thibaut Lamadon ◽

Magne Mogstad ◽

Bradley Setzler

Keyword(s):

Labor Market ◽

Imperfect Competition ◽

Compensating Differentials ◽

Rent Sharing ◽

The U.S

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Measuring Job Creation, Growth, and Survival among the Universe of Start-ups in the United States Using a Combined Start-up Panel Data Set

ILR Review ◽

10.1177/0019793919862764 ◽

2019 ◽

Vol 72 (5) ◽

pp. 1262-1277 ◽

Cited By ~ 1

Author(s):

Robert W. Fairlie ◽

Javier Miranda ◽

Nikolas Zolas

Keyword(s):

United States ◽

Panel Data ◽

The United States ◽

Future Research ◽

Data Set ◽

Growth And Survival ◽

Start Up ◽

The Us ◽

Start Ups ◽

The Universe

The field of entrepreneurship is growing rapidly and expanding into new areas. This article presents a new compilation of administrative panel data on the universe of business start-ups in the United States, which will be useful for future research in entrepreneurship. To create the US start-up panel data set, the authors link the universe of non-employer firms to the universe of employer firms in the Longitudinal Business Database (LBD). Start-up cohorts of more than five million new businesses per year, which create roughly three million jobs, can be tracked over time. To illustrate the potential of the new start-up panel data set for future research, the authors provide descriptive statistics for a few examples of research topics using a representative start-up cohort.

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Social Distancing, Labor Market Outcomes, and Job Characteristics in the COVID-19 Pandemic

SSRN Electronic Journal ◽

10.2139/ssrn.3672378 ◽

2020 ◽

Author(s):

Suqin Ge ◽

Yu Zhou

Keyword(s):

Labor Market ◽

Labor Market Outcomes ◽

Job Characteristics ◽

Market Outcomes ◽

Social Distancing

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Precarious Work and Young Workers in the United States

10.1093/oso/9780190685898.003.0003 ◽

2018 ◽

Author(s):

Arne L. Kalleberg

Keyword(s):

Labor Market ◽

The United States ◽

Young Workers ◽

Severe Problem ◽

Precarious Work ◽

The Great Recession ◽

The Us ◽

Training Opportunities ◽

And Training

This chapter discusses how the growth of precarious work and the polarization of the US labor market have produced major problems for the employment experiences of young workers. A prominent indicator of young workers’ difficulties in the labor market has been the sharp increase in their unemployment rates since the Great Recession. Another, equally if not more severe, problem faced by young workers today is the relatively low quality of the jobs that they were able to get. Other problems include the exclusion of young workers from the labor market and from education and training opportunities; the inability to find jobs that utilize their education, training, and skills; and the inability to obtain jobs that provide them with an opportunity to get a foothold in a career that would lead to progressively better jobs and thus be able to construct career narratives.

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