In a Walrasian labor market, the labor income share is constant under the assumptions of a Cobb-Douglas production … function and perfect competition. Given the observed decline of the labor share in recent decades, this paper relaxes these ….S. These results are used to explain the declining path of the labor income share, common to both economies, and their …

We study whether segmented labor markets with flexibility at the margin (e.g., just affecting fixed-term employees) can … achieve similar volatility than fully deregulated labor markets. Flexibility at the margin produces a gap in separation costs … de labor market volatility. This increased volatility is partially reverted when limitations in the duration and number …

Government-run entities are often more labor-intensive than private companies, even with identical production … firms. A tax-favored treatment of public production precludes production efficiency. It reduces welfare when labor supply is … constant. With an elastic labor supply, a wage tax advantage of the public sector may improve welfare if it allows for a higher …

This paper provides a detailed analysis on the incidence of the tax structure on the labor market. To do so it goes …

We study the effects of revenue-neutral labor tax reforms in an imperfectly competitive domestic labor market under … negotiated wage rate, increase domestic labor demand and decrease international outsourcing. In the presence of wage tax … exemption, a lower payroll tax and a higher wage tax will increase domestic labor demand and decrease international outsourcing …