1,721,032 research outputs found
Wage Dispersion and Equilibrium Search Models: Some Evidence from Italy
No full textThis paper provides a structural estimation of an equilibrium search model with on-the-job search and heterogeneity in firms' productivities using a sample of Italian male workers. Results indicate that arrival rates of offers for workers are higher when unemployed than when employed and firms exploit their monopsony power when setting wages. As a result, workers earn far less than their marginal product. The model is then used to study regional labour market differentials in Italy. Wide variation in frictional transition parameters across areas helps to explain persistent unemployment and wage differentials. Copyright 2008 The Author. Journal compilation 2008 CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd..
What Can Monopsony Explain of the Gender Wage Differential in Italy?
Full text linkIn this paper I study gender wage differentials in Italy using first-order predictions of monopsony and search models. Using different empirical strategies, I provide estimates of the labour supply elasticity facing a single firm. Results indicate that firms can (third degree) wage discriminate because the elasticity of labour supply to the firm is lower for women, as postulated by the monopsony model. I also use the abolition of a wage indexation mechanism (Scala Mobile) as an experiment to test the predictions of monopsony against other models. By comparing correlations of changes in relative employment and relative wages of men and women before and after the reform, I find that relative employment of men responded positively to the exogenous wage increase in the relative wage differential
Wage returns to experience and tenure for young men in Italy
No full textThis paper provides estimates of wage returns to experience-, firm-, sector- and occupation-specific tenure for a sample of young Italian male workers. By comparing returns obtained using different estimators, I evaluate the importance of endogeneity and selection problems generated by specific unobserved components and individual fixed effects. After controlling for the role of collective bargaining agreements and occupation categories, results indicate that general labour market experience is the fundamental source of wage growth for blue and white collars, while returns to firm tenure are insignificant. There is some evidence of positive returns to sector and occupational tenure for white collars. Estimates from different sectors suggest that union coverage can be relevant in offsetting the role of search and matching in wage determination
Unions and investment in intangible capital
Full text linkAlthough coverage of collective bargaining agreements has been declining for decades in most countries, it is still extensive, especially in non-Anglo-Saxon countries. Strong unions may influence firms’ incentives to invest in capital, particularly in sectors where capital investments are sunk (irreversible), as in research-intensive sectors. Whether unions affect firms’ investment in capital depends on the structure and coordination of bargaining, the preference of unions between wages and employment, the quality of labor-management relations, and the existence of social pacts, among other factors
Wage dispersion and equilibrium search models: some evidence from Italy
Full text linkThis paper provides a structural estimation of an equilibrium search model with on-thejob search and heterogeneity in firms' productivities using a sample of Italian workers. Allowing for productivity differentials among firms, the model is able to fit the wage distribution satisfactorily. Results indicate that arrival rates of offers for workers are higher when unemployed than when employed and firms exploit their monopsnony power when setting wages. As a result, workers earn far less than their marginal product. The paper also provides an estimate of the underlying distribution of productivity across firms. Geographical stratification reveals also interesting differences in transition parameters across workers
Wage Returns to Experience and Tenure for Young Men in Italy
Full text linkThis paper provides estimates of the average returns to labour market
experience and firm-specifc tenure for a sample of young Italian male
workers. Using instrumental variables, I take into account endogeneity
and selection problems generated by job matching and individual fixed
effects. Results indicate that OLS estimates for experience and tenure
are downward biased and that white collars workers enjoy higher returns to general and specific skills than blue collars
Wage Mobility in the Italian Labour Market: Comparing Search, Matching and Training Models
No full textWage Mobility in the Italian Labour Market: Comparing Search, Matching and Training Models
No full textThis paper studies the sources of wage growth and the process of turnover for a sample of Italian male workers employed in the private sector. Different theories based on the idea of job-specific skill investment are tested and discussed. Results indicate a consistent proportion of wage cuts upon moving to a new job and some evidence of positive duration dependence in reservation wages. This suggests the importance of matching and human capital components in wage determination. However, mobility patterns and wage dynamics can hardly be explained by a single model; each model is instead only able alone to capture some s+tylised facts. Heterogeneity in mobility rates plays also an important role
Gender Wage Differentials in Italy: a Structural Estimation Approach
Full text linkThis paper studies gender wage differentials in Italy by providing a structural estimation of the frictional parameters of two different theoretical specifications of an equilibrium search model. I alternatively allow for firm heterogeneity and discrimination empirically using maximum likelihood and matching .first moments in the data. Results indicate substantial differences in transition parameters with higher level of search frictions for women. The mapping from productivity to wages for men is highly non linear, with high productivity firms offering proportionally higher wages; for women, the relationships is almost linear. Including discrimination, I find that productivity accounts for 61% of the wage offer differential, search for 28% and 11% is the part of discrimination
Gender wage differentials in Italy: a structural estimation approach
No full textGender differentials, Equilibrium search, Discrimination, J31, J41,
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