4542 Volkswirtschaftliches Vertiefungsfach - Arbeitsmarkt- und Organisationsökonomik
PD Dr. Rene Böheim, Ph.D.
Contact details
Weekly hours
Language of instruction
02/08/19 to 02/17/19
Registration via LPIS
Notes to the course
The subject "Advanced Subject in Economics - Labour and Organisational Economics" (MaVW 9+10) will be held in the summer semester 2019 for the last time!
Day Date Time Room
Wednesday 03/06/19 03:00 PM - 07:00 PM TC.1.02
Wednesday 03/13/19 03:00 PM - 07:00 PM TC.1.01 OeNB
Wednesday 03/20/19 03:00 PM - 07:00 PM D5.0.001
Wednesday 03/27/19 03:00 PM - 07:00 PM TC.1.01 OeNB
Wednesday 04/03/19 03:00 PM - 07:00 PM TC.2.02
Wednesday 04/10/19 03:00 PM - 07:00 PM D2.0.038
Wednesday 05/22/19 03:00 PM - 07:00 PM D4.0.127
Friday 05/24/19 09:00 AM - 06:00 PM D4.0.127
Friday 05/31/19 09:00 AM - 06:00 PM D4.0.019
Wednesday 06/26/19 03:00 PM - 05:00 PM D5.0.002

The focus of this course is the theoretical and empirical analysis of labor markets. We examine the role of public policy and how it affects wage and employment outcomes in Europe and in the Austrian labor market.

Most of us allocate a substantial fraction of our time to the labor market. Our action on the labor market influences many aspects of our life: our wealth, the goods we consume, whom we associate with, where we vacation, etc. In this course, we explore how economists think how labor markets work. This will aid our understanding of topics such as education and training, discrimination and the impact of antidiscrimination programs, changes in wage inequality over time, immigration, unions, unemployment, and poverty.

Learning outcomes
Aims of this course
1. Students acquire a general understanding of economic theories and models, which explain the development of wages and employment in the labor market. 
2. Students further learn how these theories and models can be used to derive predictions about effects of government policies on the labor market. 
3. Using examples from applied research, students learn how the theoretical models can be tested empirically and how to interpret empirical results in order derive policy recommendations for the European or Austrian labor market.  

Attendance requirements

Attendance is compulsory and I expect active participation (=discussion, presentations, questions, remarks) in class.

Teaching/learning method(s)

Format of the course

During the first part of the semester, lectures will introduce basic theoretical models to analyze labor markets. 

In the second half of the semester, we will study the empirical evidence about the theoretical models on the basis of applied research papers. This part of the course is organized as a seminar. Each student works on their own topic based on a research paper and prepares a presentation, which they give at the end of the semester. 

The topics and the schedule of the seminar block will be distributed and organized during the lectures in the beginning of the semester.

Electronic copies of the presentations (in pdf!) have to be submitted prior to the presentations.




Course Grades

The final grade is composed of

Two homeworks 10%

Presentation and presentation slides 45%

Final Exam 45%


The final exam is a closed book exam. It covers the material presented in the lectures and also in the students' presentations.

Prerequisites for participation and waiting lists

Positive grades on the courses in micro and macro economics of the Master’s program are prerequisite for participating in Labor Economics;


During there registration period, students will be placed on a first-come, first-served basis. Once registration closes, more seats will be made available. Students from the waiting list will then be placed based. Students from an older cohort will be placed before students from younger cohorts. If you are registered, but do not intend to take the class, we ask you to deregister during the registration period. There is no guarantee for a seat in this lecture!



1 Author: Pierre Cahuc, Stéphan Carcillo, Andre Zylberberg
Title: Labor Economics

Publisher: MIT Press/Cambridge Massachusets
Edition: 2nd edition
Year: 2014
Content relevant for class examination: Yes
Recommendation: Essential reading for all students
Type: Book
2 Author: George Borjas
Title: Labor Economics

Publisher: Mc Graw Hill
Edition: 7th
Year: 2015
Recommendation: Strongly recommended (but no absolute necessity for purchase)

Selected scientific articles which will be made available during the lectures. 

Availability of lecturer(s)


Office hours: by appointment

Office hours: By appointmen
Office hours: By appointmenoffice

Language:  English


Attendance:  Attendance will be taken in the first lecture. Students who do not show up in the first lecture will be dropped from the class.

In general, attendance in the lecture and especially in the seminar block is compulsory. Failure to attend the any of seminar blocks will be considered as zero participation and affects the final grade.


Unit details
Unit Date Contents


Introduction, Labor Supply: Theoretical model of labor-leisure choice, Empirical aspects

Read: Cahuc, Carcillo, Zylberberg, Chapter 1


Labor Demand

Read: Cahuc, Carcillo, Zylberberg, Chapter 2


Competitive Labor Market Equilibrium; Compensating Wage Differentials

Read: Cahuc, Carcillo, Zylberberg, Chapter 3


Education, Human Capital, and Discrimination

Read: Cahuc, Carcillo, Zylberberg, Chapter 4, 8

Job Search and Matching Models 

Read: Cahuc, Carcillo, Zylberberg, Chapter 5, 9

Unemployment and Policies

Read: Cahuc, Carcillo, Zylberberg, Chapter 9, 13, 14
7 Ganztägig: Referatspräsentationen von Studierenden; Diskussion
Last edited: 2018-11-29