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Labor economics is the branch of microeconomics that studies labor markets and its peculiarities. Labor economists usually study topics such as career choice, returns to schooling, determinants of labor productivity, wages, gender and racial gaps.
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Differentiation of the value function in Burdett Mortensen (1998)
I'm currently making my way through Burdett and Mortensen's classic paper of on the job search. What should be an easy task of finding an expression for the reservation wage is made slightly more comp …