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We develop a methodology for identifying departures from relative factor price equality across regions that is valid under general assumptions about production, markets and factors. Application of this methodology to the United States reveals substantial and increasing deviations in relative...
Persistent link: https://www.econbiz.de/10005662030
multi-country sourcing model in which heterogeneous firms self-select into importing based on their productivity and country …
Persistent link: https://www.econbiz.de/10011145398
productivity of the industrial sector is indeed the product of about five times 70%. But 0.70 to the power of five is 17%. The … least productive country in the sample, Bangladesh, has a productivity level worth about 2% of that of the richest nations … relative price of manufactured goods. We show that productivity differentials explain about half of the relative price …
Persistent link: https://www.econbiz.de/10005792296
The paper focuses on labor and product market deregulations, as fundamental elements in the passage from an investment to an innovation-based economy. The approach undertaken is prominently empirical. After a very brief description of the regulatory levels on the two sides of the Atlantic, we...
Persistent link: https://www.econbiz.de/10005792522
This paper explores the role of stabilization policy in a model where firm entry responds to shocks and uncertainty. We evaluate stabilization policy in the context of a simple analytically solvable sticky price model, where firms have to prepay a fixed cost of entry. The presence of endogenous...
Persistent link: https://www.econbiz.de/10005497957
We investigate theoretically and empirically the competitive effects of increased trade on prices, productivity and … productivity. In response to an increase in openness, markups show a steep short run decline, which partly reverses later, while … productivity rises in a manner that increases over time. Our estimates suggest that EU manufacturing prices fell by 2 …
Persistent link: https://www.econbiz.de/10005667140
would reflect higher productivity of more senior workers. If this were true, the observation of an effect of seniority on … wages would depend on the presence of controls for individual productivity. In this paper we replicate, using personnel data …' evaluations were used as productivity indicators. Since the validity of supervisors' evaluations as measures of productivity has …
Persistent link: https://www.econbiz.de/10005504362
It is often argued that a mandatory minimum wage is binding only if the wage density displays a spike at it. In this Paper we analyse a model with search frictions and heterogeneous production technologies, in which imposition of a minimum wage affects wages even though, after imposition, the...
Persistent link: https://www.econbiz.de/10005666625
This Paper examines the disincentive effects of perceived underpayment on individuals’ exerted effort and promotion. To this end we develop a theoretical framework and obtain empirical evidence by analysing British academia data. We find that, tenured academics will tend to invest less effort...
Persistent link: https://www.econbiz.de/10005667021
total factor productivity and output. It also finds no significant effects on employment. These results support the view …
Persistent link: https://www.econbiz.de/10005788953