Population ageing combined with a shrinking potential workforce are main factors influencing future socio-economic development and the labour market. This paper has the objective to show the impact of population change on one important sector of the economy, the health care market. As the need...

We analyze the dramatic decline of the employment share of unskilled labor in the West German economy, in particular its relation to the relatively rigid earnings structure. We find that the substitution elasticity between unskilled and skilled labor is rather low in most sectors of the economy....