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Fiscal Policy, Economic Integration and Unemployment

Eggert, Wolfgang; Goerke, Laszlo - CESifo - 2003

In this paper fiscal policy is examined for an open economy characterised by unemployment due to efficiency wages. We …

Persistent link: https://www.econbiz.de/10005405914

Social Relations and Relational Incentives

Dur, Robert; Tichem, Jan - CESifo - 2012

This paper studies how social relationships between managers and employees affect relational incentive contracts. To this end we develop a simple dynamic principal-agent model where both players may have feelings of altruism or spite toward each other. The contract may contain two types of...

Persistent link: https://www.econbiz.de/10010877789

Time Limits on Welfare Use under Involuntary Unemployment

Holzner, Christian; Meier, Volker; Werding, Martin - CESifo - 2004

The impacts of introducing or tightening time limits on welfare use are studied in an efficiency wage model. Those losing access to regular benefits receive some smaller benefit, which can be interpreted as food stamps. Stricter time limits raise both employment and profits and generally reduce...

Persistent link: https://www.econbiz.de/10005766157

Training, Job Security and Incentive Wages

Katsimi, Margarita - CESifo - 2003

This paper considers the optimal level of firm-specific training by taking into account the positive effect of training on the expected duration of workers’ current employment. In the framework of an efficiency wage model, a short expected job tenure represents a disamenity that reduces the...

Persistent link: https://www.econbiz.de/10005766234

Redundancy Pay and Collective Dismissals

Goerke, Laszlo - CESifo - 2001

, no additional firing costs and if unemployment benefits are not altered by redundancy payments. If payroll taxes exceed … firing costs and unemployment benefits are independent of redundancy pay, employment and welfare will rise with redundancy …

Persistent link: https://www.econbiz.de/10005181403

Monopolistic Competition, Efficiency Wages and Perverse Effects of Demand Shock

Malley, Jim; Molana, Hassan - CESifo - 2001

number of European countries, for the main predictions of this model that unemployment and output are positively related when … unemployment is low and inversely related when unemployment is high. An important policy insight that emerges from this study is … that an exogenous stimulation of aggregate demand can only raise output and reduce unemployment provided the economy is …

Persistent link: https://www.econbiz.de/10005181466

Workfare, Monitoring, and Efficiency Wages

Holzner, Christian; Meier, Volker; Werding, Martin - CESifo - 2006

The impact of a stronger work requirement for welfare recipients in a workfare program is studied in an efficiency wage model where a representative firm chooses its level of monitoring activities. A stricter workfare policy raises employment and monitoring activities. It typically increases...

Persistent link: https://www.econbiz.de/10005405856

Tax Progressivity and Tax Evasion

Goerke, Laszlo - CESifo - 2003

More progressive income taxes raise employment in models of imperfectly competitive labour markets. However, this prediction is not robust to modifications of the analytical structure. For example, in an efficiency wage setting, more progressive taxes reduce profits. This induces firms to exit...

Persistent link: https://www.econbiz.de/10005406269

Workfare in an Efficiency Wage Model

Meier, Volker - CESifo - 2002

The impacts of introducing work requirements for welfare recipients are studied in an efficiency wage model. If the workfare package is not mandatory, it will reduce employment, profits, and utility levels of employed and unemployed workers. In contrast, mandatory effort requirements will...

Persistent link: https://www.econbiz.de/10005406407

Employee Referral, Social Proximity and Worker Discipline: Theory and Evidence from India

Dhillon, Amrita; Iversen, Vegard; Torsvik, Gaute - CESifo - 2013

We study an important mechanism underlying employee referrals into informal low skilled jobs in developing countries. Employers can exploit social preferences between employee referees and potential workers to improve discipline. The profitability of using referrals increases with referee stakes...

Persistent link: https://www.econbiz.de/10010674452

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