“…Ironically, labour economics was traditionally regarded as being 'exceptional' in economic science in that the methodological individualism and deductive reasoning of the mathematical models developed elsewhere in the discipline were not seen to be appropriate to the analysis of labour markets, characterized as they were by collective actors and institutions (Baumol 1991). But, as Zappala (1993) notes, over the past thirty years the methodology of neoclassical economics, based on deductive reasoning, the a priori assumption of perfectly competitive markets, individualism and rational, maximizing behaviour, has come to dominate labour economics. At the same time, however, labour economists have remained sensitive to the institutional realities of the labour market.…”