Showing 1 - 10 of 40
This paper investigates the role that idiosyncratic uncertainty plays in shaping social preferences over the degree of labor market flexibility, in a general equilibrium model of dynamic labor demand where the productivity of firms evolves over time as a Geometric Brownian motion...
Persistent link: https://www.econbiz.de/10005859642
public competitions brings with it a substantial wage premium (ranging from 7 to 32%). Informal networks bring with them a … wage penalty (-6.5%) in the state sector, where formal hiring methods are common, and a wage premium (6.3%) in social … in job search methods between state and private organisations explain from 50% to 100% of the conditional wage …
Persistent link: https://www.econbiz.de/10005860262
We evaluate the effects of international outsourcing and labor taxation on wage formation and equilibrium unemployment … in dual labor markets. Outsourcing promotes wage dispersion between the high-skilled and low-skilled workers. Higher … domestic low-skilled wage tax, higher payroll tax and lower wage tax exemption increase optimal outsourcing... …
Persistent link: https://www.econbiz.de/10005859632
It is common knowledge that the standard New Keynesian model is not able to generate a persistent response in output to temporary monetary shocks. We show that this shortcoming can be remedied in a simple and intuitively appealing way through the introduction of labor turnover costs (such as...
Persistent link: https://www.econbiz.de/10005859640
This paper shows that outsourcing of parts of workforce in unionized firms leads to wage moderation both in the case of … strategic and flexible outsourcing and as long as the share of the outsourced workforce is not too large, this wage …
Persistent link: https://www.econbiz.de/10005859577
This paper analyzes the cyclical properties of worker flows in Brazil and Mexico, two important developing countries with large unregulated or "informal" sectors. It generates three stylized facts that are critical to the accurate modeling of the sector and which suggest the need to rethink the...
Persistent link: https://www.econbiz.de/10005859639
outsourcing, wage tax and tax exemption in an imperfectly competitive labour markets when labour unions and firms negotiate wages … and the impacts of labour tax progression on domestic wage setting and employment[...] …
Persistent link: https://www.econbiz.de/10005859655
We provide evidence on how two important types of institutions - dismissal barriers, and bonus pay - affect contract enforcement behavior in a market with incomplete contracts and repeated interactions. Dismissal barriers are shown to have a strong negative impact on worker performance, and...
Persistent link: https://www.econbiz.de/10005860225
one of the key insights from theory:effort and sabotage increase with the wage spread. Additionally, we find that even in …
Persistent link: https://www.econbiz.de/10005868022
Standard models of equilibrium unemployment assume exogenous labour market institutions and flexible wage determination …. This paper models wage rigidity and collective bargaining endogenously, when workers differ by observable skill and may … adopt either individualized or collective wage bargaining. In the calibrated model, a substantial fraction of workers and …
Persistent link: https://www.econbiz.de/10005860626