Labor markets friction

This brief discussion of labor market friction indicates that the sufficient availability of health and safety information is essential to the compensation mechanism. There are several reasons why workers might be less than fully informed. First, some hazardous working conditions, particularly those associated with poorly understood, hard-to-identify occupational diseases, are simply not likely to be taken into consideration. Each... 

Figure 2.4 Wages and safety under employer deception and labor market friction...

---