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We theoretically analyse the effects of sick pay and employees' health on collective bargaining, assuming that individuals determine absence optimally. If sick pay is set by the government and not paid for by firms, it induces the trade union to lower wages. This mitigates the positive impact on...
Persistent link: https://www.econbiz.de/10012979849
The perfectly competitive market – a hypothetical situation free of market failure – is the basis for the two fundamental welfare theorems, and an important benchmark for economic theory. The radical abstractions of this idea, however, make its full implications hard to grasp. I address this...
Persistent link: https://www.econbiz.de/10012870214
We exploit tax-induced exogenous variance in the price of union membership to identify the effects of changes in firm union density on firm productivity and wages in the population of Norwegian firms over the period 2001 to 2012. Increases in union density lead to substantial increases in firm...
Persistent link: https://www.econbiz.de/10012943707
We examine the evolution of the Swedish wage distribution over the periods 1968-1981 and 1981-2000. The first period was the heyday of the Swedish solidarity wage policy with strongly equalization clauses in the central wage agreements. During the second period, there was more scope for...
Persistent link: https://www.econbiz.de/10013158522
Income inequality has been lower in periods when trade unionism has been strong. Using observations on wages by occupation, by geography, and by gender in collective bargaining contracts from the 1940s to the 1970s, patterns in movements of wage differentials are revealed. As wages increased,...
Persistent link: https://www.econbiz.de/10012835874
This paper tests the pro-competitive effect of trade in the product and labor markets of UK manufacturing sectors between 1988 and 2003 using a two-stage estimation procedure. In the first stage, we use data on 9820 firms from twenty manufacturing sectors to simultaneously estimate mark-up and...
Persistent link: https://www.econbiz.de/10013317547
This paper presents information on wage bargaining institutions, collected using a standardized questionnaire. Our data provide information from 1995 and 2006, for four sectors of activity and the aggregate economy, considering 23 European countries, plus the US and Japan. Main findings include...
Persistent link: https://www.econbiz.de/10013324749
This paper presents an alternative implementation of firm-level collective wage bargaining, where bargaining proceeds as a finite sequence of sessions between a firm and a union of variable size. We investigate the impact of such a 'gradual' union on the wage-employment contract in an economy...
Persistent link: https://www.econbiz.de/10012999534
This paper explores the link between the presence of unions in the workplace, the adoption of decentralized labor … limiting the unions' power such as a strong exposure to international markets, high debt levels or the prevalence of flexible … on efficiency is positive and partially compensates the negative unions' effect. The results are robust to the inclusion …
Persistent link: https://www.econbiz.de/10012980313
This paper presents the first comparative analysis of the decline in collective bargaining in two European countries where that decline has been most pronounced. Using workplace-level data and a common model, we present decompositions of changes in collective bargaining and worker representation...
Persistent link: https://www.econbiz.de/10013147557