Unemployment Stigma and Multiple Labour Market Equilibria: A Social‐Psychological Interpretation of Hysteresis
Author:
Abstract
This paper supplements a simple one period non‐shirking efficiency wage model with behavioural assumptions drawn from the social‐psychological literature. A model of social interaction is developed in which the status associated with various labour market options yields implications for the shape of the non‐shirking constraint and, thereby, for the number and type of labour market equilibria. The significance of such a finding for the existence of unemployment hysteresis is explored.Keywords
This publication has 31 references indexed in Scilit:
- The Wage CurveThe Scandinavian Journal of Economics, 1990
- Imperfect Competition, Underemployment Equilibria and Fiscal PolicyThe Economic Journal, 1990
- A Theory of Dual Labor Markets with Application to Industrial Policy, Discrimination, and Keynesian UnemploymentJournal of Labor Economics, 1986
- Unemployment in BritainEconomica, 1986
- Wages Policy and Unemployment in AustraliaEconomica, 1986
- The Stigma of Race: Who Now Bears the Mark of Cain?*Symbolic Interaction, 1985
- GOOD PEOPLE DOING DIRTY WORK: A STUDY OF SOCIAL ISOLATION*Symbolic Interaction, 1984
- Choosing the Wrong `Natural' Rate: Accelerating Inflation or Decelerating Employment and Growth?The Economic Journal, 1980
- The Scrounging Controversy: Public Attitudes Towards the Unemployed in Contemporary BritainSocial Policy & Administration, 1978
- The Phillips curve and macroeconomic policyCarnegie-Rochester Conference Series on Public Policy, 1976