Non-Separable capital adjustment costs imply that investment directly affects the demand for labour and therefore justify not only the lagged dependent variable but also the presence of investment expenditures or Tobin's valuation ratio Q in labour demand estimation. On this basis we estimate a...

Two components of work activity are considered: observed effort, which can be rewarded directly, and unobserved helping or communication in a team which increases productivity. Positivite spillovers from helping can generate multiple equilibria (as in imperfectly competitive macroeconomies)....

In samples of employees from two firms, women are segregated in low-pay occupations and therefore receive lower returns on their (similar) educational qualifications than men. In the primary-sector, capital intensive, unionised firm, all wages are much higher. In the secondary-sector firm,...

Capital-skill complementarity is tested for two different definitions of skill using data from 32 West German manufacturing industries from 1975-1990. Using the Kmenta approximation for the CES function provides strong support for complementarity between white collar workers and capital. On the...

This paper uses a panel of about 6000 French establishments to test some implications of the modern theory of dynamic monopsony or upward sloping labour supply curves for average firm wages. Panel estimates provide strong evidence of a much larger long run employer size - wage effect (ESWE) than...

This paper uses a panel of about 6000 French establishments to test some implications of the modern theory of dynamic monopsony or upward-sloping labour supply curves for average firm wages. Panel estimates provide strong evidence of a much larger long-run employer size-wage effect (ESWE) than...

Job-satisfaction as a component of workers' utility has been strangely neglected, with work usually regarded as reducing utility and the benefits of leisure. This is contradicted by many empirical studies showing that unemployment is a major cause of unhappiness, even when income is controlled...

Disaggregated data from 30 two-digit manufacturing industries in the east and west parts of unified Germany are used to estimate employment for three skill categories of blue collar workers. Employment elasticities are uniformly higher in the east, and for unskilled labor. The former result...

The standard bargaining model predicts that falling international price competitiveness should exert downward pressure on wages, in addition to the effect of current unemployment. Cointegration results with aggregate British and German data confirm the model for the U.K., but fail to reveal an...