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Implementing performance pay requires that workers' output be measured. When measurement costs differ among firms, those with a measurement cost advantage choose to implement performance pay. They attract the best workers, and both the level and variability of compensation are higher at these...
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It is analyzed the impacts of outsourcing cost and wage tax progression under labor market imperfections with Nash wage … bargaining and flexible outsourcing. With sufficiently strong (weak) labor market imperfection, lower outsourcing cost has a wage … negative effect on outsourcing. …
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partly imported intermediates (= outsourcing or fragmentation) (ii) increased employment due to higher demand caused by an …
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This paper explores the welfare consequences of international outsourcing in the presence of resulting environmental … damage in a three-stage model of North-South trade. In stage 1, outsourcing firms in the North (e.g., United States [US] and … a framework for analyzing the effects of international outsourcing on environment and, ultimately, social welfare in …
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We survey the literature on the effects of public sector outsourcing. Guided by theory, we systematically arrange … indicates that public sector outsourcing generally reduces costs without hurting quality. This is clearly the case for … "perfectly contractible services" like garbage collection, but outsourcing often seems to work reasonably well also for some …
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