precisely measure the MW compliance cost for each restaurant. We examine a broad range of adjustment channels in addition to … three years. Cost increases were instead absorbed through other channels of adjustment, including higher prices, lower …

distinguish between three adjustment mechanisms: through factor prices, through an expansion in the size of those production units … supply shocks do not induce factor price changes in the tradable sector. In this sector, most of the adjustment to changes in … exit the market are an important additional channel of adjustment. Finally, we demonstrate that an industry level analysis …

the Mincer equation where no equality is imposed but an adjustment between observed and potential earnings is allowed to … dynamic panel-data wage equation and provide measures of the speed of adjustment in Belgium, Denmark and Finland. Further, we …-bargaining model and argue that a micro-founded model can fit the data better than a simple adjustment model but requires more …

necessarily associated with large adjustment costs. Indeed, extrinsic rigidity appears to be significant in many cases. We also … find that asymmetry in the price adjustment could be due to trends in marginal costs and/or desired mark-ups rather than … asymmetric cost of adjustment bands …