Searching, matching and education: a note

• Autor(es): Silva, João C. Cerejeira da
• Data: 2005
• Identificador Persistente: http://hdl.handle.net/1822/2743
• Origem: RepositóriUM - Universidade do Minho
• Assunto(s): Education; Externalities; Search; Matching; Unemployment
• Tipo de Documento: Research paper
• Idioma: Inglês

Descrição

In this paper the individual optimal level of education is set in a frictional labor market, where matching is not perfect. Also search frictions are a function of the average education of the labor force. Therefore, an increase in the average education can improve economic efficiency, not only through improvements in workers productivity, but also making the matching process more e¢ cient, and thus reducing the unemployment level.