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Centralized wage-setting institutions compress relative wages. Motivated by this fact, we investigate the effects of centralized wage setting on the industry distribution of employment. We examine Sweden's industry distribution from 1960 to 1994 and compare it to the U.S. distribution over the...
Persistent link: https://www.econbiz.de/10005645422
In 2007, the Swedish employer-paid payroll tax was cut on a large scale for young workers, substantially reducing labor … employment and on wages, implying a labor demand elasticity for young workers at around –0.31. Since the tax reduction applied …
Persistent link: https://www.econbiz.de/10010818413