Rising wage inequality in the U.S. and Britain (especially in the 1980s) and rising continental European unemployment … (with rather stable wage inequality) have led to a popular view in the economics profession that these two phenomena are …

We document substantial cross-sectional heterogeneity of German establishments’ real wage cyclicality over the business … wages. We estimate a negative connection between establishments’ wage cyclicality and their employment cyclicality, thereby …

We present a new and simple empirical methodology to identify relative wage rigidity dynamics. The methodology is … relative wage and unemployment differentials for various labour market defining characteristics. A simultaneous increase in the … relative wage and the unemployment likelihood is defined as a relative wage rigidity dynamic for a labour market characteristic …

This study provides empirical evidence for the economic rationality of wage rigidities. Theoretically wage rigidities … survey of 801 firms strong support has been found for explanations based on collective wage agreements and on efficency wages … as well. Collective wage agreements and implicit contracts are important reasons for wage rigidities for the low skilled …

labor demand. Tightening eligibility to short-time work benefits tends to reduce the wage while the impact on unemployment …

We analyse the implications of habit formation relating to wages in a multi-period efficiency-wage model. If employees …. Greater intensity does not necessarily have the same consequences, because wage adjustments counteract the initial level … impact. The firm's response additionally depends on the wage-dependency of dismissal costs since such costs make an …

This paper investigates whether and in what sense the west German wage structure has been "rigid" in the 1990s. To test … the hypothesis that a rigid wage structure has been responsible for rising low-skilled unemployment, I propose a … stability of educational wage premia was justified by market forces. However, relative wages did not respond to negative net …

, search for employers, and residual wage shocks to account for these life cycle wage dynamics. We highlight the importance of … largest part of life cycle wage dynamics. It accounts for 50% of average wage growth, 50% of rising differences between gender …