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Labor market modeling using a labor supply function of two-arguments

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Cybernetics and Systems Analysis Aims and scope

Abstract

A two-argument function of individual labor supply is considered. Real wage and unemployment rates are the arguments of this function. Conditions of emergence of direct and inverse relations between these two economic indicators are investigated. This function is used to analyze processes in a competitive and monopsonic labor market. The expediency and conditions are substantiated for the use of the exogenous increase in labor remuneration by increasing minimal wage.

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Correspondence to L. B. Koshlai.

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Translated from Kibernetika i Sistemnyi Analiz, No. 5, pp. 18–30, September–October 2010.

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Mikhalevich, M.V., Koshlai, L.B. Labor market modeling using a labor supply function of two-arguments. Cybern Syst Anal 46, 699–709 (2010). https://doi.org/10.1007/s10559-010-9250-x

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  • DOI: https://doi.org/10.1007/s10559-010-9250-x

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