We analyze the positive and normative effects of a progressive tax on wages in a nonlinear New Keynesian DSGE model in …

Common wisdom holds that the introduction of a non-binding minimum wage is irrelevant for actual wages and employment …. Empirical and experimental research, however, has shown that the introduction of a minimum wage can raise even those wages that … bargaining models between unions and firms. While the Nash bargaining solution is unaffected by minimum wages below initially …

In oligopolistic industries that are unionised and may be affected by offshoring, falling offshoring costs have a … moderating effect on trade unions. They will accept lower sector wages in order to discourage mobile forms from leaving the … country. Since such wages are independent of the workers' domestic outside opportunities, wage moderation - induced by deeper …