Rent Rigidity, Asymmetric Information, and Volatility Bounds in Labor Markets
---- Acknowledgements -----
We thank seminar participants at the 2005 NBER Summer Institute, University of Connecticut, Yale, Hunter College, Tinbergen Institute, MIT, LABORatorio R.R., Harvard, Penn, 2006 SED, NYU and Georgetown for comments. We gratefully acknowledge insightful conversations with Dino Gerardi. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.