In this note we study the implications on a bivariate normal Roy Model of two sets of monotonicity hypotheses proposed recently by Manski and Pepper (2000). In that simple context, we show that these hypotheses imply strong restrictions on the correlations structure between the decision and the...

If demand for human services is inelastic or manufactured goods are necessities, labour shifts from manufacturing to services and the budget share of services rises. Higher productivity growth in the market sector pushes up the tax rate and public employment if private goods and public services...

Standard models of temporary contracts are either inconclusive, or fail to account for the positive correlation between temporary contracts and the employment rate, and for the high transition rates into permanent employment measured in Europe. This paper shows that a matching model in which...

We analyse in detail the factors that lead to intergenerational persistence among sons, where this is measured as the association between childhood family income and later adult earnings. We seek to account for the level of income persistence in the 1970 BCS cohort and also to explore the...

In this paper we analyse the incomes of self-employed in Denmark and Sweden and ask if there exist income differences between natives and immigrants. The OLS-estimates show that non-western immigrants have significantly lower annual incomes than their native counterparts. We then estimate...

From Tunisian matched worker-firm data in 1999, we study the returns to human capital in two leading manufacturing sectors. Workers in the IMMEE benefit from higher returns to human capital than their counterparts in the Textile-clothing industry. In the IMMEE firms, low wage workers experience...

La literatura sobre asimilación de los inmigrantes ha destacado la portabilidad imperfecta del capital humano acumulado por éstos en su país de origen (Chiswick, 1978; Friedberg, 2000). Ello explicaría la escasa asimilación en el momento de llegar al nuevo país, así como la gran brecha...

It is often argued, though mostly informally, that outward foreign direct investment (FDI) is a synonym for the export of employment and thus detrimental to the home economy. To see whether and under what conditions this intuition indeed holds true, we construct a model of unionized duopoly and...

Collective bargaining agreements still play an important role in the German wage setting system. Both existing theoretical and empirical studies find that collective bargaining leads to higher wages compared to individually agreed ones. However, the impact of collective bargaining on the wage...

This paper is an analysis of the impact of different bargaining regimes on firm-specific wages and wage dispersion. In recent years, firms in Germany favored more flexible than collective bargained wages. Opening clauses were introduced to combine collective bargaining and flexible adaptation of...