nep-pke New Economics Papers
on Post Keynesian Economics
Issue of 2006‒05‒27
three papers chosen by
Karl Petrick
Leeds Metropolitan University

  1. Behavioral Economics Comes of Age By Wolfgang Pesendorfer
  2. Testing Theories of Job Creation: Does Supply Create Its Own Demand? By Carlsson, Mikael; Eriksson, Stefan; Gottfries, Nils
  3. The return of the guild? Network relations in historical pespective By Simon Deakin

  1. By: Wolfgang Pesendorfer
    Date: 2006–05–14
  2. By: Carlsson, Mikael (Research Department, Central Bank of Sweden); Eriksson, Stefan (Department of Economics, Uppsala University); Gottfries, Nils (Department of Economics, Uppsala University)
    Abstract: How well do alternative labor market theories explain variations in net job creation? According to search-matching theory, job creation in a firm should depend on the availability of workers (unemployment) and on the number of job openings in other firms (congestion). According to efficiency wage and bargaining theory, wages are set above the market clearing level and employment is determined by labor demand. To compare these models we estimate an encompassing equation for net job creation on firm-level data. The results support demand-oriented theories of job creation, whereas we find no evidence in favor of the search-matching theory.
    Keywords: Job Creation; Involuntary Unemployment; Search-Matching; Labor Demand
    JEL: E24 J23 J64
    Date: 2006–05–01
  3. By: Simon Deakin
    Abstract: Prior to the industrial revolution, the predominant form of economic organization in western Europe and north America was the guild. Guilds were network forms, loose associations of independent producers, with strong local and regional identities, in which cooperation and competition were combined. The decline of the guild was brought about in large part by legal changes which privileged the emerging conjunction of the vertically integrated enterprise and mass consumer market. If present- day network forms are not be consigned to the margins of capitalism as their predecessors were, we need a set of legal concepts and techniques which can underpin and protect network relations, most importantly in the context of competition law.
    Keywords: networks, guilds, vertical integration, industrialisation, competition law.
    JEL: K21 L14 L22
    Date: 2006–03

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