Showing 1 - 8 of 8
affects employment, wage inequality, public expenditures, and aggregate income in the low-wage sector. It is shown that a … employment – depending on the subsidies’ incidence – and income effects. Wage subsidies also allow a more equal income …
Persistent link: https://www.econbiz.de/10005765743
In oligopolistic industries, increased cost saving opportunities via offshoring have a moderating effect on trade unions. In order to discourage mobile firms from leaving the country, unions accept lower sector wages. In effect, the negotiated wage becomes independent of workers’ bargaining...
Persistent link: https://www.econbiz.de/10008534009
We show that a minimum wage introduced in the presence of asymmetric information about worker productivities will lead to lower unemployment levels than predicted by the standard labour market model with heterogeneous labour and symmetric information.
Persistent link: https://www.econbiz.de/10005000388
in Germany, on employment, wage inequality, public expenditures, and incomes of poor households: 1) a statutory minimum … subsidies, the government can ensure more favorable employment and income effects. Combining a minimum wage with a wage subsidy …
Persistent link: https://www.econbiz.de/10005094296
This paper examines the consequences of creating a fully competitive market in a sector previously dominated by a cost-minimising public firm. Workers in the economy are heterogeneous in their motivation to work in the sector. In line with empirical findings, our model implies that firms in the...
Persistent link: https://www.econbiz.de/10005181317
Civil servants have a bad reputation of being lazy. However, citizens' personal experiences with civil servants appear to be significantly better. We develop a model of an economy in which workers differ in laziness and in public service motivation, and characterise optimal incentive contracts...
Persistent link: https://www.econbiz.de/10005181504
The quality of public management is a recurrent concern in many countries. Calls to attract the economy’s best and brightest managers to the public sector abound. This paper studies self-selection into managerial and non-managerial positions in the public and private sector,using a model of a...
Persistent link: https://www.econbiz.de/10005406416
the share of the outsourced workforce is not too large, this wage-moderation effect on domestic employment outweighs the … direct substitution effect so that domestic employment increases in unionized firms as outsourcing costs fall. This does not … for employment. However, except for low outsourcingactivities, the impact of these policy measures will become smaller as …
Persistent link: https://www.econbiz.de/10005181655