Bauer, Thomas K.; Bonin, Holger; Sunde, Uwe - 2021
The paper examines real and nominal wage rigidities. We estimate a switching regime model, in which the observed … distribution of individual wage changes, computed from West German register data for 1976-1997, is generated by simultaneous … processes of real, nominal or no wage rigidity, and measurement error. The fraction of workers facing wage increases that are …