We develop a simple endogenous growth model with two countries, North that innovates, and South. As in Dinopoulos and Segerstrom (1999), trade liberalization raises wage inequality through stimulating Ramp;D activity. However, the consequences of North-South trade become ambiguous when a service...

For the first time it has been made possible to merge a German and a Swiss firm-level data set that include detailed information about costs and benefits of apprenticeship training. Previous analyses based only on aggregate data showed that the net costs of training apprentices are substantial...

This paper investigates the evolution of earnings inequality in urban China from 1989 to2006. After decomposing the variance of log of earnings into transitory and permanent twoparts, we find that both components are important contributors to the total variance ofearnings. We also find that the...

This paper reviews the literature on two-sided atomeless assignment models of workers to tasks. Using simple parametric examples, the fundamental differences between the comparative advantage and the scale of operations models are illustrated. Holding the distributions of abilities and tasks and...

Collective bargaining in Germany takes place either at the industry level or at the firm level; collective bargaining coverage is much higher than union density; and not all employees in a covered firm are necessarily covered. This institutional setup suggests to explicitly distinguish union...

In this paper we document the wage structure and labor mobility in the Netherlands in theperiod 1999-2003. We explain the importance of wage-setting institutions in the Netherlandsand the main actors. The analyses are based on administrative sources allowing forcomparisons between and within...

Using linked employer-employee data from the German Structure of Earnings Survey 2001,this paper provides a comprehensive picture of the wage structure in three wage-settingregimes prevalent in the German system of industrial relations...