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We decompose permanent earnings risk into contributions from hours and wage shocks. To distinguish between hours shocks …-cycle model of consumption and labor supply. Both permanent wage and hours shocks are important to explain earnings risk, but wage … shocks have greater relevance. Progressive taxation strongly attenuates cross-sectional earnings risk, its life …
Persistent link: https://www.econbiz.de/10012160640
principal implications: First, the distribution of wages becomes more dispersed as a cohort of workers gains experience; second … growth in the variance of residual wages over the first ten years of the worker's career are also the occupations with high …
Persistent link: https://www.econbiz.de/10003974544
conditions. The issue of wage arrears (unpaid wages or outstanding pay), which affects half of all employees, plays an important … role in the determination of wages. Studies, which do not account for wage arrears, overestimate the overall inter …
Persistent link: https://www.econbiz.de/10011436169
The positive association between moderate alcohol consumption and wages is well documented in the economic literature …. Positive health effects as well as networking mechanisms serve as explanations for the "alcohol-income puzzle." Using … importantly, we shed light on the alcohol-income puzzle by analyzing, for the first time, the association between beverage …
Persistent link: https://www.econbiz.de/10003726012
This paper uncovers ongoing trends in idiosyncratic earnings volatility across generations by decomposing residual earnings auto-covariances into a permanent and a transitory component. We employ data on complete earnings life cycles forprime age men born 1935 through 1974 that covers earnings...
Persistent link: https://www.econbiz.de/10011373904
market compensates higher wage risk with higher wages, this study investigates whether the gender gap in wage expectations … formation of reservation wages. Building on the theoretical reasoning of compensating differentials proposing that the labor … can be explained by individuals anticipating this form of risk compensation. Relying on a unique survey on German high …
Persistent link: https://www.econbiz.de/10011865456
Why do people work unpaid overtime? We show that remarkable long-term labor earnings gains are associated with unpaid overtime in West Germany. A descriptive analysis suggests that over a 10-year period workers with unpaid overtime experience on average at least a 10 percentage points higher...
Persistent link: https://www.econbiz.de/10011436362
regional labour markets. However, distortions in extracting the regional unemployment effects arise in standard regional (i ….e. NUTS) classifications as they fail to adequately capture spatial processes. In addition, the nonstationarity of wages and … unemployment is often ignored. Both issues are particularly important in high unemployment regimes like East Germany where a wage …
Persistent link: https://www.econbiz.de/10011672933
Our paper investigates the link between international outsourcing and wages utilising a large household panel and … outsourcing has had a marked impact on wages. Distinguishing three skill categories we find evidence that outsourcing reduced the … real wage for workers in the lowest skill categories by up to 1.8% while it increased real wages for high-skilled workers …
Persistent link: https://www.econbiz.de/10011439313
Paid parental leave schemes have been shown to increase women's employment rates but decrease their wages in case of … interruptions increased for high-income mothers. Nevertheless, we find a positive long-run effect on earnings for mothers in this …
Persistent link: https://www.econbiz.de/10012155784