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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 this paper we construct a political economy model in which minimum wages are determined according to the wishes of the median voter. Using the minimum wage scheme as the status quo, we show that the replacement of minimum wages by wage subsidies guaranteeing the same (pre-tax) level of income...
Persistent link: https://www.econbiz.de/10005405885
(UI), and employment protection legislation (EPL). It is argued that research on UI is largely a success story, involving … result of frequent failures to find noticeable employment effects despite considerable effects on wages. EPL research has … established that employment protection reduces labor and job turnover but the jury is still out regarding the impact on overall …
Persistent link: https://www.econbiz.de/10010735188
We study how incentives for North-South technology transfers in multinational enterprises are affected by labour market institutions. If workers are collectively organised, incentives for technology transfers are partly governed by firms’ desire to curb trade union power. This will affect not...
Persistent link: https://www.econbiz.de/10008799749
We construct a political equilibrium in which employers and labour unions bargain over labour contracts, wage-earners and profit-earners lobby the government for taxation and labour market regulation, and labour market legislation must be accepted by the majority of voters. We show that the...
Persistent link: https://www.econbiz.de/10005051549
This paper sheds new light on the effects of the minimum wage on employment from a two-sided theoretical perspective … incentives and increase job acceptance incentives. We show that sufficiently low minimum wages may do no harm to employment …
Persistent link: https://www.econbiz.de/10010877633
generalized anxiety disorder detract from the employment and labor force participation of males and females; however, we do not … addressing the potential endogeneity of mental illness, we continue to find that mental illness adversely affects employment and … gains in employment for 3.2 million individuals and reduction in workplace cost of absenteeism of $18.9 billion due to …
Persistent link: https://www.econbiz.de/10010877812
by behavioral adjustments yet which are of considerable importance to one’s quality of life: employment, earnings and …
Persistent link: https://www.econbiz.de/10010948866
. But with rapid technological change, gains in youth employment from vocational education may be offset by less … adaptability and thus diminished employment later in life. To test our main hypothesis that any relative labor-market advantage of … vocational education decreases with age, we employ a difference-in-differences approach that compares employment rates across …
Persistent link: https://www.econbiz.de/10009351470
transfer pricing by the host country affect investment and employment of foreign subsidiaries. The results indicate that …
Persistent link: https://www.econbiz.de/10010752788