Imagine a perfect labor market where doing anything takes an employee 5 years. Ie if they don’t stay 5 years, the output value is 0, salary is sunk cost. Imagine employees are perfectly mercenary and will switch instantly if offered a better salary.
How does this market evolve?
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Contracts with end-of-term bonuses and clawbacks of salary, and universal non-compete agreements with large-ish timelines.
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So cost of poaching = match salary + npv of bonus as signing bonus + a separate new bonus?
Bonus arms race...
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Is that a rhetorical question? Probably would look a lot like the market your readers are engaged in.
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It’s a theoretical economics question. I’m trying to understand incentives for long-term employment.
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A time of employment based insurance /credit will surely emerge
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Just hide the fact that the output of the zero.
Then it's today's engineering market.
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The government deploys armed men to the streets to force labor to submit to capital.






