Econometrics, Quantitative Economics, Data Science

Labour Market as a Matching Market: Theory and Estimation

CREST – GENES, “OFPR” Research Course Series
February 2012

Lecture notes

The lecture notes can be found here.

Course information

Schedule:

Monday Feb 6, 2-5.15pm
Thursday Feb 9, 4-6pm
Thursday Feb 16, 4-6pm
Monday Feb 20, 2-5.15pm

Course location:

Amphi 2, ENSAE 3, Avenue Pierre Larousse, Malakoff (Métro : Malakoff/Plateau de Vanves)

Accessibility:

Ces cours sont proposés aux étudiants de 3ème année de l’ENSAE, de l’ENSAI se préparant à la recherche et ouverts
aux étudiants de M2 ou inscrits en thèse. Une inscription préalable est demandée impérativement pour tous les
étudiants de l’ENSAE, de l’ENSAI, ou extérieurs, par courriel à guedj@ensae.fr ou par tél. au 01 41 17 35 50, afin de
pouvoir être admis dans les locaux de l’ENSAE. Les renseignements sur le contenu et les dates de ces cours
peuvent être obtenus au 01 41 17 35 50.

Description of the course

The aim of this course is to present an overview of both the theory and estimation sides of the labour market, seen as a matching market. The originality of the course is to combine various different perspectives, following the tradition in labour economics but borrowing further from advanced econometrics techniques and recent advances in economic theory.
Two axis are developed:

  • First, an equilibrium approach in static models without friction is presented. One-to-one matching models are discussed in connection with the “economics of superstars” of Sherwin Rosen, and more recent literature on hedonic models. Next, one-to-many matching models following the seminal work by Kelso and Crawford are introduced.

 

  • The second axis is dedicated to modeling friction on the labour market and connections to the search literature: an overview on search models is given, and  the connection to the previous literature is discussed.

This course is mostly methodological, and a particular emphasis is put on identification and estimation issues. A selection of relevant empirical papers will also be discussed.

 

PDF: FicheGALICHON2011-12

PDF: OFPR_Labour_notes