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Title:Strategic Wage Bargaining, Labor Market Volatility and Persistence Author(s):HERTWECK, Matthias S.Date:2006Type:Working PaperSeries/Number:EUI ECO; 2006/42Abstract:This paper modifies the standard Mortensen-Pissarides job matching model in order
to explain the cyclical behavior of vacancies and unemployment. The modifications include
strategic wage bargaining (Hall and Milgrom, ...