Investments in education and welfare in a two-sector, random matching economy

Concetta Mendolicchio, Dimitri Paolini and Tito Pietra

No 201108, IAB-Discussion Paper from Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]

Abstract: "We consider a random matching model where heterogeneous agents choose optimally to invest time and real resources in education. Generically, there is a steady state equilibrium, where some agents, but not all of them, invest. Regular steady state equilibria are constrained inefficient in a strong sense. The Hosios (1990) condition is neither necessary, nor sufficient, for constrained efficiency. We also provide restrictions on the fundamentals sufficient to guarantee that equilibria are characterized by overeducation (or undereducation), present some results on their comparative statics properties, and discuss the nature of welfare improving policies." (Author's abstract, IAB-Doku) ((en))

Keywords: Bildungsinvestitionen; Humankapital; matching; Arbeitskräfteangebot; Überqualifikation; Unterqualifikation; Arbeitsmarktgleichgewicht; Arbeitsmarktmodell (search for similar items in EconPapers)
JEL-codes: H20 J24 (search for similar items in EconPapers)
Pages: 40 pages
Date: 2011
New Economics Papers: this item is included in nep-dge
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in/as: Journal of Mathematical Economics, Vol. 48, No. 6 (2012), S. 367-385, doi:10.1016/j.jmateco.2012.08.002

Downloads: (external link)
https://doku.iab.de/discussionpapers/2011/dp0811.pdf

Related works:
Journal Article: Investments in education and welfare in a two-sector, random matching economy (2012)
Working Paper: Investments in education and welfare in a two-sector, random matching economy (2012)
Working Paper: Investments in education and welfare in a two-sector, random matching economy (2010)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:iab:iabdpa:201108

Access Statistics for this paper

More papers in IAB-Discussion Paper from Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] Contact information at EDIRC.
Bibliographic data for series maintained by IAB, Geschäftsbereich Wissenschaftliche Fachinformation und Bibliothek ().