Hungerbühler, Mathias (contributor); … - 2007
,
bunching at the bottom of the wage distribution appears at the (second-best) optimum if
the workers’ bargaining power is …
function, γ, is never optimal.
To understand this result, one might identify the distortions that are present in the
(second-best … Minimum Wage?”, Working Paper CREST.
[6] Drèze, J. and Gollier, C., 1993, Risk Sharing on the Labour Market and Second-Best …