@techreport{NBERw1931,
 title = "Efficient Contracts with Costly Adjustment:  Short-RUn Employment Determination for Airline Mechanics",
 author = "David Card",
 institution = "National Bureau of Economic Research",
 type = "Working Paper",
 series = "Working Paper Series",
 number = "1931",
 year = "1986",
 month = "May",
 URL = "http://www.nber.org/papers/w1931",
 abstract = {This paper presents an empirical analysis of firm-specific
employment and wage outcomes for mechanics in the domestic airline
industry. A dynamic contracting model is presented that incorporates
both costly employment adjustment and potential gaps between contract
wage rates and the opportunity value of workers' time. The model gives
a useful description of the employment-output linkage in the data, but
is less successful in capturing the dynamic relation between employment,
contract wage rates, and wage rates outside the airline industry.},
}