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Using information on a panel of multinational firms operating in the United Kingdom from 1996 to 2005, we find that labour demand in domestic multinationals is less sensitive to own labour costs changes than in foreign multinationals. This difference in wage elasticity of labour demand persists...
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This paper presents an application of the Generalised Error Correction Model (GECM) for heterogeneous factor demands based on the quadratic cost function. Using data for 26 West German manufacturing industries over the period 1976-1995, it turns out that less general specifications such as the...
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In this paper, four commonly provided explanations for the shift in labour demand for different skill groups are investigated: the substitutability of inputs; the own-price sensitivity for different types of labour; the effect of economic growth and the impact of technological change. In...
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wages of displaced German workers after they returned to work. We also present a simple new method to decompose the wage … wages of displaced workers after their return to work. Women experienced smaller wage losses than men. For both sexes, over … wage loss. Collectively, the sorting and matching channels explain almost all of the Hartz reforms' effect on post …
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