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-moderating effect for firms facing unions in bilateral wage negotiations. Finally some implications for equilibrium unemployment are …
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unemployment across a sample of OECD countries. Using an incomplete markets variant of the fair wage real business cycle model …, increases in the gross replacement rate of public unemployment insurance are shown to increase the volatility of employment, and … which unemployment is endogenised in the model. …
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In this paper we develop a model of a multi-sector multi-factor small open economy with involuntary unemployment due to … fair wages. The model is used inter alia to analyse the labour market effects of changes in unemployment benefits and the …
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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...
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