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Outsourcing and labor taxation in dual labor markets

Koskela, Erkki; Poutvaara, Panu - 2008

We evaluate the effects of international outsourcing and labor taxation on wage formation and equilibrium unemployment … reduce equilibrium unemployment of low-skilled workers both in the presence and absence of labor taxation. In the presence of … outsourcing, wage tax, tax exemption and payroll tax have an ambiguous effect on equilibrium unemployment. Increasing the degree …

Persistent link: https://www.econbiz.de/10010264385

Flexible outsourcing and the impacts of labour taxation in European welfare states

Koskela, Erkki; Poutvaara, Panu - 2008

In European Welfare States, low-skilled workers are typically unionized, while the wage formation of high-skilled workers is more competitive. To focus on this aspect, we analyze how flexible international outsourcing and labour taxation affect wage formation, employment and welfare in dual...

Persistent link: https://www.econbiz.de/10010264468

Impacts of labor taxation with perfectly and imperfectly competitive domestic labor markets under flexible outsourcing

Koskela, Erkki - 2009

What are the impacts of labor tax reform on wage setting and employment to keep the relative tax burden per low-skilled and high-skilled workers constant in the case of heterogenous domestic labor markets, i.e. imperfect competition in low-skilled labor and perfect competition in high-skilled...

Persistent link: https://www.econbiz.de/10010265972

Analysis of labor tax progression under heterogeneous domestic labor markets and flexible outsourcing

Koskela, Erkki - 2010

What are the impacts of labor tax reform on wage setting and employment to keep the relative tax burden per low-skilled and high-skilled workers constant in the case of heterogeneous domestic labor markets, i.e. imperfect competition in low-skilled labor and perfect competition in high-skilled...

Persistent link: https://www.econbiz.de/10010275003

Outsourcing and Labor Taxation in Dual Labor Markets

Koskela, Erkki; Poutvaara, Panu - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2008

We evaluate the effects of international outsourcing and labor taxation on wage formation and equilibrium unemployment …

Persistent link: https://www.econbiz.de/10005859632

Ranking of Job Applicants, On-the-job Search, and Persistent Unemployment

Eriksson, Stefan; Gottfries, Nils - 2003

employment status affects both the level and the persistence of unemployment and numerically that these effects are substantial … to explain the high and persistent European unemployment. …

Persistent link: https://www.econbiz.de/10010321725

Product market imperfections and employment dynamics

Carlsson, Mikael; Eriksson, Stefan; Gottfries, Nils - 2011

How important is imperfect competition in the product market for employment dynamics? To investigate this, we formulate a theoretical model of employment adjustment with imperfect competition in the product market, search frictions, and convex adjustment costs. From this model, we derive a...

Persistent link: https://www.econbiz.de/10010322000

On the Interaction between Minimum Wage Adoption and Fiscal Redistribution: A Theoretical and Empirical Investigation

Economides, George; Kammas, Pantelis; Moutos, Thomas - 2020

We explain the public’s support for the minimum wage (MW) institution despite economists’ warnings that the MW is a “blunt instrument” for redistribution. To do so we build a model in which workers are heterogeneous in ability, and the government engages in redistribution through the...

Persistent link: https://www.econbiz.de/10012269425

Minimum Wages, Capital Accumulation and Worker's Incomes

Economides, George; Moutos, Thomas - 2014

Using an intertemporal model of saving and capital accumulation we demonstrate that it is impossible for any binding minimum wage to increase the after-tax incomes of workers if the production function is Cobb-Douglas with constant returns to scale, or if there are no differences in ability...

Persistent link: https://www.econbiz.de/10010398531

Minimum Wages as a Redistributive Device in the Long Run

Economides, George; Moutos, Thomas - 2014

This paper analyzes long run outcomes resulting from adopting a binding minimum wage in a neoclassical model with perfectly competitive labour markets and capital accumulation. The model distinguishes between workers of heterogeneous ability and capitalists who do all the saving, and it entails...

Persistent link: https://www.econbiz.de/10010435748