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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
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 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
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
More progressive income taxes raise employment in models of imperfectly competitive labour markets. However, this … progressive taxes reduce profits. This induces firms to exit the market such that the positive employment effect can vanish in a … opportunities raise the likelihood of positive employment effects due to higher tax progressivity. …
Persistent link: https://www.econbiz.de/10005406269
shown that a fixed payment will lower wages, leave employment and welfare unaffected if there are no wage-dependent taxes … firing costs and unemployment benefits are independent of redundancy pay, employment and welfare will rise with redundancy … payments. If these payments are also a function of previous wages, positive employment effects will be mitigated. A …
Persistent link: https://www.econbiz.de/10005181403
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