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Why do governments in developing economies invest in roads and not enough in schools? In the presence of distortionary taxation and debt aversion, the different pace at which roads and schools contribute to economic growth turns out to be central to this decision. Specifically, while costs are...
Persistent link: https://www.econbiz.de/10012945687
German wages have not increased very rapidly in the last decade despite strong employment growth and a 5 percentage …
Persistent link: https://www.econbiz.de/10012843295
-induced productivity increases at the firm level, which get passed on to industry wages. Since tariff reductions were proportionately …
Persistent link: https://www.econbiz.de/10012783424
Nominal wage growth in most advanced economies remains markedly lower than it was before the Great Recession of 2008-09. This paper finds that the bulk of the wage slowdown is accounted for by labor market slack, inflation expectations, and trend productivity growth. In particular, there appears...
Persistent link: https://www.econbiz.de/10012907938
align public sector compensation to private wages inlow-skilled professions …
Persistent link: https://www.econbiz.de/10012907947
spending is crucial for its macroeconomic implications. Although reductions in public wages and government purchases of goods … reductions decrease private wages. Model counterfactuals show that sufficiently rigid nominal private wages can reverse the … response of private wages, as the rigidity dampens the labor reallocation effect from the public to private sector that exerts …
Persistent link: https://www.econbiz.de/10012866219
-15 Current Population Survey, I find that the drawn-out cyclical labor market repair - likely owing to low entry wages of new … wages: for full-time, full-employed workers, the Wage-Phillips curve - the empirical relationship between wage growth and …
Persistent link: https://www.econbiz.de/10012977830
In 2003–05, Germany undertook extensive labor market reforms which were followed by a large and persistent decline in unemployment. Key elements of the reforms were a drastic cut in benefits for the long-term unemployed and tighter job search and acceptance obligations. Using a large...
Persistent link: https://www.econbiz.de/10013016588
The paper uses a large survey (GSOEP) to analyze the labor market performance of immigrants in Germany. It finds that new immigrant workers earn on average 20 percent less than native workers with otherwise identical characteristics. The gap is smaller for immigrants from advanced countries,...
Persistent link: https://www.econbiz.de/10012996034
, although this effect has become weaker since 2008. But there isdownward pressure on wages for individuals with occupations that …
Persistent link: https://www.econbiz.de/10012913885