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Consider a labour market with heterogeneous workers. Firms recruit workers by fixing a hiring standard and a wage offer simultaneously. A more demanding hiring standard necessitates a better wage offer in order to attract enough qualified applicants. As a result, an efficiency wage effect is...
Persistent link: https://www.econbiz.de/10010262771
Agreement dismantling on unemployment in Tunisia. The specification of intertemporal behavior of households and firms permits … of efficiency wages, the model allows for an endogenous determination of unemployment. The main findings are that … unemployment and wage inequality will increase due to the MFA phase out, and that a deeper integration with the EU can soften the …
Persistent link: https://www.econbiz.de/10010296388
In this paper fiscal policy is examined for an open economy characterised by unemployment due to efficiency wages. We …
Persistent link: https://www.econbiz.de/10010261641
In order to alleviate unemployment it is often recommended to reduce social security contributions (SSC) and to … compensate for the ensuing loss in revenues by a rise in the value-added tax (VAT). Assuming unemployment to be caused by … neutralised, for example, by imposing a constant wedge, the employment impact will depend on the nature of the unemployment …
Persistent link: https://www.econbiz.de/10010262282
This paper combines matching frictions with e¢ ciency wages to deter shirking in a model that is estimated for the USA and the UK to derive the underlying structural parameters. Methods robust to weak instruments are used to show that, for both countries, both matching frictions and efficiency...
Persistent link: https://www.econbiz.de/10010318955
reduces equilibrium unemployment under circumstances with sufficiently ?rigid? labour market institutions, i.e. sufficiently …
Persistent link: https://www.econbiz.de/10010261570
endogenously determined. Interpreting unemployment as damage, urban pollution (damage denoted in units of labour) can also support …We explore the links between migration of labour and location specific (urban) pollution, suggesting a sense in which … pollution can be welfare improving. In a conventional Harris-Todaro model of urban-rural migration, individuals migrate so as to …
Persistent link: https://www.econbiz.de/10010291995
unemployment and wages. It is thus often seen as a refutation of the Harris-Todaro model, who point to a positive relationship … the agglomeration of economic activity is associated with higher unemployment and why controls for agglomeration should be …
Persistent link: https://www.econbiz.de/10010294368
The Solow condition is examined in an intertemporal model that blends the shirking and the turnover models of efficiency wages with managerial supervision. It is shown that the Solow condition does not hold when shirking and turnover costs are considered. The Solow condition can be a possible...
Persistent link: https://www.econbiz.de/10010443316
In der Analyse wird ein Effizienzlohn-Modell vorgeschlagen, das endogene Beschäftigten-Ströme mit unvollständigem … Anreize für die Arbeitnehmer auswirkt und zu höheren Effizienzlohn-Prämien führt. Ein intensivierter Wettbewerb lässt …
Persistent link: https://www.econbiz.de/10010304143